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Budget 2026: Assam Tea Industry Seeks MSP and Wage Hike for Garden Workers
BUDGET

Budget 2026: Assam Tea Industry Seeks MSP and Wage Hike for Garden Workers

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As the Union Budget 2026 approaches, traders, producers, and workers linked to Assam’s tea industry are calling on the central government to introduce supportive measures to address long-standing challenges.

As the Union Budget 2026 approaches, traders, producers, and workers linked to Assam’s tea industry are calling on the central government to introduce supportive measures to address long-standing challenges. Assam, which is globally recognised for producing some of the finest tea, remains one of India’s most important tea-producing regions. However, stakeholders say the sector has been under significant financial strain for several years.

One of the key demands from tea producers is the introduction of a minimum support price for tea. Industry representatives say many growers are being forced to sell their produce below the cost of production due to weak auction prices and rising input costs. This situation has resulted in mounting losses, especially for small and medium tea growers, and has raised concerns about the long-term sustainability of the industry. Producers believe that fixing an MSP would help protect them from market volatility and ensure fair returns.

In addition to pricing concerns, low wages for tea garden workers remain a major issue. Workers’ unions and community leaders have highlighted that current daily wages are insufficient to cover basic household needs. Many workers struggle with rising costs of food, healthcare, and education. Stakeholders argue that government intervention is necessary to improve wage structures and ensure better living conditions for plantation workers who form the backbone of the tea industry.

Industry experts note that Assam’s tea sector plays a crucial role in employment generation and rural development. Lakhs of workers depend directly or indirectly on tea gardens for their livelihood. Any continued decline in the sector could have serious social and economic consequences for the region. As a result, both producers and workers are urging the government to allocate special funds and introduce policy reforms in the upcoming budget.

With Finance Minister Nirmala Sitharaman scheduled to present the Union Budget on February 1, expectations are high within the tea community. Stakeholders are hopeful that the government will recognise the importance of the tea industry and announce measures such as financial assistance, wage support, and market protection mechanisms.

The industry believes that timely intervention through the Budget could provide much-needed relief, stabilise production, and safeguard livelihoods. As discussions around Budget 2026 continue, the Assam tea sector is watching closely, hoping that its long-standing concerns will finally receive focused attention at the national level.

This situation has resulted in mounting losses, especially for small and medium tea growers, and has raised concerns about the long-term sustainability of the industry.