STiR coffee and tea magazine

STiR coffee and tea 21 Trustworthy advising ... Use our knowledge to your benefit. With our outstanding experience in tea buying and blend development, we offer you high-quality teas, sophisticated formulations and latest tea innovations. Independently. Personally. Since 1992. Get an impression of us: www.kktee.de the Tea Board at that time. Both agreed they wanted to see how farmers can be supported better. Desmond says, "That's what started our whole conversation. We had to figure out how to make a sustainable tea industry." The Tea Board leased land for a 15-year period, during which time farmers were paid daily wages. A farmer with 1 hect- are was guaranteed wages for 26 days a month at Rs 376 per day for about 200 days annually. Additionally, under the national rural employment scheme, MGNREGA, they are guaranteed work for 100 days a year with wages at Rs 230 per day (2023-24). Raj says, "Farmers were paid daily wages independent of what they produced. Our work has been to shift their mindset from wage earners to factory owners." Kumaon Tea follows from the work that Young Mountain Tea (YMT) began in 2013. Raj started YMT as a US-based retail brand for teas made in India and Nepal, sourcing from organic, boutique and farmer- friendly producers. Kumaon remains key to his portfolio and the Kumaon White is a signature tea. In 2021, the duo revived the idea of a tea factory. Then came figuring out how it would work. The plan was YMT would own the factory along with 500 farmers (most of them women) from Champawat village. This, they felt, would retain more value with farmers. Raj adds, "It would ensure that the farmers have an incentive to stay in tea. It is equitable and involves them in tea production where they are part of the whole chain... they have the satisfaction of owning the factory." Desmond came on board as co-founder and investor. "We wanted to have an ownership—a shared ownership with the factory," says Raj. "We own this alongside the farmers. As own- ers we can ask for standards to be met." The intent is to also increase the tea quality (and therefore prices). The timing couldn't be better as the government lease is reaching its 15 year mark allowing the factory to step in and of- fer farmers an opportunity to remain in tea. The first commer- cial production will be in April 2025, an important milestone. Kumaon Tea will produce orthodox teas with some specialty tea, keeping market demand as the driver. YMT will remain a significant buyer and will sell bulk and retail. This market insight has been significant as it informs the team about the types of teas to make, and consequently the equipment needed for the factory. While this was not by design, Raj says that working from the market back to the production has ensured that their planning is aligned to sales. It informed their decision to make both orthodox and specialty tea— "it gives us the flexibility to meet the market where it's at." The real challenge is in how farmers view it. When Raj and Desmond introduced the idea to the farmers, there wasn't im- mediate buy-in. "First, we had to explain why and what we were doing to the farmers. The farmers have gotten used to a certain amount of money as wages. The moment their earning goes be- low that, they worry." Adds Desmond, "We had to show them something solid. Seeing is believing." The construction of the factory has been a start. The goal is to buy green leaf from the farmers at competitive prices and share profits with them. When that happens, they'll have turned a corner. Earthly Delight Micro Factory In the Nilgiris, the Earthly Delight Producer Company inau- gurated its "100% farmer-owned" micro-factory in September 2024. This was spearheaded by Nilgiris native and management consultant Harish Kannan, whose last job was with leading agri- US-based Young Mountain Tea owner, Raj Vable, first came to the Kumoan region in 2010 and fell in love with the area. Photo courtesy Young Mountain Tea

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