GUWAHATI, March 10: Assam’s tea industry has lauded the State Budget 2025-26, presented by Finance Minister Ajanta Neog, for its historic initiatives to modernize tea trade, improve worker welfare, and strengthen the sector’s global standing.
In a groundbreaking move, Neog announced India’s first AI and Blockchain-Powered Tea Auction System to enhance transparency, efficiency, and fair pricing in the tea trade. “This digital platform will revolutionize Assam’s tea industry, ensuring secure transactions and positioning the state as a global tea leader,” she stated.
Neog also announced ₹5,000 cash support for 6.8 lakh tea garden workers (casual & permanent) as one-time financial assistance and allocated ₹342 crore for this initiative.
She also announced Green Leaf Cess Exemption was extended for two more years to support large tea estates and tax Holiday on Agricultural Income extended by three years to encourage investments.
The Finance Minister further announced ₹150 crore waiver of arrear electricity dues for tea garden worker families and 800 four-seater trailer-mounted toilets for tea gardens.
The State Budget also announced road improvements in tea labor lines for better connectivity, Model Tea Garden Schools and Football Academies for the tea community, scholarships for tea community students to support higher education.
In a statement, TAI Assam Branch Secretary Dipanjal Deka praised the Budget 2025-26, acknowledging its focus on key concerns of the tea industry and much-needed relief measures.
“The budget prioritizes education and sports for the tea community with proposals for model tea garden schools, football academies, and scholarships for students,” Deka said. He welcomed the three-year extension of the tax holiday on agricultural income, a long-standing industry demand aimed at providing financial stability and encouraging investment in the tea sector.
He also applauded the introduction of India’s first AI-driven, blockchain-based Tea Auction System, stating that it will revolutionize the tea trade by ensuring fair pricing, secure transactions, and greater transparency, ultimately strengthening Assam’s position as a global tea industry leader.
Furthermore, Deka emphasized the importance of ₹5,000 in direct financial aid to 6.8 lakh tea garden workers, including both casual and permanent laborers, with a total allocation of ₹342 crore. “This is a commendable welfare measure that directly supports the hardworking tea community,” he added.
Deka concluded by stating that these initiatives reflect the government’s strategic commitment to the sustainable growth of Assam’s tea industry, ensuring both economic prosperity and worker welfare.
NETA advisor, Bidyanandan Barkakatysaid, “The green leaf cess exemption, initially granted in 2022, has now been extended until 2027, providing continued relief to tea estates.”
In a statement, TAI Assam Branch secretary Dipanjal Deka welcomed the Budget 2025-26 for considering the various issues and giving relief accordingly.
“Model tea garden schools and football academies have been proposed along with various scholarships to the students of the community. Extension of Tax Benefits: The budget proposes extending the tax holiday on agricultural income tax for the next three years, aiming to provide financial relief and encourage investment in the tea sector. This was a much sought-after relief by the industry,” Deka said.
“Significant emphasis has been placed on improving the infrastructure of tea garden labour lines, particularly road development, to enhance connectivity and living conditions for tea workers,” Deka also said.
He said the government aims to provide 800 four-seater trailer-mounted toilets to cover all the tea gardens.
“Waiver of Electricity Dues as a special measure, the government has announced a one-time waiver of all arrear electricity dues for tea garden worker families residing in labour lines, with an allocation of ₹150 crore for this initiative,” he also said.
“These measures reflect the government’s strategic focus on sustaining the growth of Assam’s tea industry, ensuring the welfare of tea workers, and reinforcing the sector’s significance in the state’s socio-economic landscape,” Deka said.
Deka said Assam will work with Tea industry stakeholders to introduce India’s first AI-driven; blockchain-based Tea Auction System to enhance transparency and efficiency. This digital platform will revolutionize the tea trade by ensuring secure transactions and fair pricing. The initiative will strengthen Assam’s position as a global leader in the tea industry and help in fair price discovery.
He added the announcement of one-time financial assistance of Rs. 5000 to each of 6.8 lakh existing tea garden workers, both casual and permanent workers is a noteworthy welfare measure. Rs. 342 crores has been allocated for this endeavour.
North Eastern Tea Association (NETA) advisor Bidyanandan Barkakaty said, “The extension for exemption of green leaf cess for big tea estates was given in the Budget 2022 for 3 years effective from 1st Jan 2022. Therefore, it has expired on 31st Dec 2024. In today’s budget, the green leaf cess exemption has been further extended for another 2 years with effect from 1st Jan 2025 under The Assam Taxation (on specified lands) Act, 1990.”
“Specified land means any land used or intended to be used for growing tea and for purposes ancillary thereto or any part of such land, in this Act referred to as tea estate. The rate of tax was 40 paisa per kg of green leaf for specified lands exceeding 40 hectares and 25 paisa per kg of green leaf for specified lands not exceeding 40 hectares,” he added.
Also Read: Assam Unveils ₹1.68 Lakh Crore Budget: Big on Growth, Infrastructure, and Welfare
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