GUWAHATI, March 4 — The State Government is groping for ways to revive the sick Assam Tea Corporation Limited (ATCL) in the wake of lukewarm response to the sale tender floated by it sometimes back. In response to a call attention motion brought in the Assembly today by the BJP legislator Rameswar Teli, State Industry Minister Bhubaneswar Kalita said although eight organisations had submitted tender to buy some of the ATCL tea estates nothing was finalised as yet. He said some of these bidders were in touch with the high-powered committee formed under the chairmanship of the Chief Secretary which is trying its best to secure to deal to sell those gardens which have become a burden on the State.
The minister said a company called L&T International had initially bid for buying 76% stake in the ATCL, but later the company put some new condition. Although the State Government subsequently responded to the new condition put by the company, the response from the party was being awaited.
In the meantime, another six companies are in touch with the high powered committee which is being assisted by consultancy experts of NEITCO, in connection with the bids submitted by them. The Industry Minister, however, assured the House that the Government shall work out a strategy to revive the ATCL as it had become impossible for the cash-strapped Government to shoulder the burden of the ATCL.
During the last three financial years including the year coming to an end on March 31 next, the State Government provided total Rs 15.30 crore assistance to the ATCL. The minister informed that during its 30-year-long existence, the ATCL could register profit only in nine financial years. The recent slump in the tea prices have virtually rung the death knell for the Corporation which now required massive investment to modernise tea estate factories and go for replantation to produce quality tea.
The ATCL was set up in 1972 under the Companies Act and in 1973 the State Government bought the stakes and subsequently bought 14 more sick gardens. At present, the ATCL has 29 tea estates including some of the oldest gardens in the State, which are now struggling. Earlier, joining issues with Rameswar Teli, AGP MLAs Hitendra Nath Goswami and Gunin Hazarika highlighted the plight of the staff and workers of the ATCL gardens and exhorted upon the Government to take urgent step to revive these estates.