Tea industry should adopt new technology to bypass high cost of labour

The Sri Lankan tea industry should look towards adopting sustainable practices and enhancing productivity through technology to bypass the high cost of labour, said Sanjaya Herath Chairman, Colombo Tea Traders’ Association (CTTA) (Pictured) at their 130th Annual General Meeting in Colombo.

He noted that labor costs account for over 60% of production expenses and are a significant concern amidst rising inflation and workforce shortages. He emphasized the need for automation and renewable energy investments to ensure the sector’s resilience.

“Our industry’s success depends on a proactive approach to innovation, technology adoption, and sustainable growth,” Herath said.

“Our tea industry must harness advanced technology, foster public-private partnerships, and support smallholder farmers to ensure resilience and growth.”

He also highlighted the industry’s ongoing challenges and future strategies to safeguard Ceylon Tea’s position in global markets.

The association expanded its outreach by deploying two 1990 Suwasariya ambulances to Maskeliya and Nivithigala in February, increasing access to essential medical services in tea-growing communities. Additionally, the “Ray of Hope” charity initiative, launched in April, further emphasized CTTA’s commitment to supporting vulnerable communities within the tea sector.

As one of the CTTA’s recent accomplishments, the digital transformation of the Colombo Tea Auction in 2020 stands out as a testament to the association’s adaptability.

“This transition to online auctioning, driven by the challenges of the COVID-19 pandemic, marked a new era of accessibility and resilience for Ceylon Tea, ensuring the continuity of trade during uncertain times.”

Delivering the keynote, Chief Guest Dr. Rohan Pethiyagoda, (Pictured) former Chairman of the Sri Lanka Tea Board, and Biodiversity scientist emphasized that tradition alone would not suffice to meet modern demands. “The time has come for the industry to take charge of its destiny.”

“Wishful thinking isn’t enough. Our success depends on recognizing challenges head-on and embracing a proactive approach to innovation and sustainability.”

He urged CTTA members to address climate change, overregulation, and the need for quality standards, echoing the need for a modernized approach to maintain Ceylon Tea’s relevance.

The AGM also reaffirmed CTTA’s commitment to securing Geographical Indication (GI) status for Ceylon Tea in key markets like the European Union.

Dr. Pethiyagoda highlighted the unique regional qualities of Sri Lankan teas but cautioned on specific descriptions, underscoring the importance of preserving these identities under the GI to protect the authenticity of the Ceylon Tea brand. Founded on August 9, 1894, the CTTA has consistently driven progress in the tea industry, overseeing the world-renowned Colombo Tea Auction, the largest single-origin tea auction globally.