An Overview on Tea Development and Promotion Scheme: Boosting Tea Production and Livelihoods in India


By CMV360 Editorial Staff

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Updated On: 03-Apr-2023 01:54 PM


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The Tea Development and Promotion Scheme is a government initiative in India aimed at promoting the growth and development of the country's tea industry.

The Tea Board of India has launched the Tea Development and Promotion Scheme (TDPS) to provide financial assistance and enhance the competency of the tea industry. As per the Tea Act of 1953, the tea industry is controlled by the Union Government. The TDPS comprises of 7 supporting schemes, including Plantation Development, Quality Upgradation and Product Diversification, Domestic and International Market Promotion, Research and Development, Human Resource Development, National Programme for Tea Regulation, and Establishment Expenses. Let's explore how the Tea Board provides assistance for Plantation Development under the TDPS.

Objectives of Tea Development & Promotion Scheme

The objective of the first component of the Tea Development & Promotion Scheme is to enhance tea production, productivity of tea gardens, and the quality of Indian tea. It caters to both big growers (with more than 10.12 hectares) and small growers (with up to 10.12 hectares) and comprises of several sub-components. These include replanting and replacement planting, rejuvenation pruning, irrigation, mechanization, and organic certification for plantations. Big growers are eligible for an annual award, while small growers can avail of assistance for Self Help Groups (SHG), Farmers' Producers Organizations (FPO), and an Annual Award Scheme for SHGs and FPOs. Additional benefits for small growers include support for setting up new factories, mini-factories, traceability, publication of newsletters, workshops/training, study tours, strengthening field offices, organic conversion, and special packages for North East, Idukki, Kangra, and Uttarakhand.

For both big and small growers -

For big growers only -

For small growers only -

Process of Availing Financial Assistance

The Tea Board of India offers financial assistance to the tea industry through the Tea Development & Promotion Scheme (TDPS). To avail financial assistance under this scheme, the interested parties need to follow a general process.

Eligibility Criteria to Avail Financial Assistance under Tea Development and Promotion Scheme

To be eligible for financial assistance under the scheme, applicants must satisfy certain conditions, as outlined below:

Assistance Quantum for Sub-Components

Equipment Item Ceiling Limit (Rs.) -
- Pruning machine 25000

Annual Award

Organic Certification

Assistance to Self-Help Groups (SHGs)

The following items are available for assistance to SHGs:

Item Unit Cost (Rs.) -

Assistance to Farmer Producer Organizations (FPOs)

The following items are available for assistance to FPOs:
Item Unit Cost (Rs.)-

FAQs on Tea Development and Promotion Scheme

Here are some FAQs on Tea Development and Promotion Scheme:

Q1: What is the Tea Development and Promotion Scheme?

Ans: The Tea Development and Promotion Scheme is a government-sponsored scheme aimed at promoting the growth and development of the tea industry in India.

Q2: Who can apply for the scheme?

Ans: Growers, producers, manufacturers, and entrepreneurs involved in the tea industry can apply for the scheme.

Q3: What activities are covered under the scheme?

Ans: The scheme covers activities such as replanting, rejuvenation pruning and infilling, irrigation, mechanization, and assistance to self-help groups and farmer producer organizations.

Q4: What is the subsidy provided under the scheme?

Ans: The subsidy provided under the scheme varies based on the activity. For instance, the subsidy for replanting and replacement planting is 25% of the total cost, while the subsidy for irrigation is 25% of the total cost.

Q5: What is the application process for the scheme?

Ans: Applicants must submit a single application for each activity they wish to undertake. The application must be accompanied by a non-refundable application fee, compliance certificates (where applicable), and transaction receipts (for big growers).

Q6: What are the ceiling limits for the subsidy provided under the scheme?

Ans: Ceiling limits vary based on the activity and the type of applicant (big grower, small grower, self-help group, etc.). For example, the ceiling limit for a mechanical harvester is Rs. 40,000 for big growers and Rs. 40,000 for farmer producer organizations.

Q7: Can an applicant submit multiple applications for the same activity?

Ans; No, only one application per activity per applicant shall be submitted. In case of an additional application for the same activity, it will be clubbed with the first application and then considered, provided all conditions of the scheme are satisfied.

Q8: How is the subsidy disbursed?

Ans: The subsidy will be released in two installments. The first installment will cover 60% of the subsidy, and the second installment will cover the remaining 40% of the subsidy.

Q9: Is there a time limit for utilizing the subsidy?

Ans: Yes, beneficiaries must utilize the subsidy within one year of the release of the first installment.

Q10: What happens if an applicant violates the Tea Act or other orders from the Tea Board?

Ans: If an applicant violates the Tea Act or other orders from the Tea Board, the subsidy granted will be recovered along with 12% interest per annum.