Impact of Bought Leaf Factories on Small Tea Producers in Assam

Bought Leaf Factories (BLFs) are established to purchase green tea leaves exclusively from small tea producers. In Assam, over 250 BLFs were operational by 2016-17, significantly expanding the market for small tea growers and attracting younger generations to tea cultivation. These factories integrate small tea growers into the tea value chain.

The Tea Board of India supports the creation of BLFs by Self Help Groups (SHGs) of small tea growers through subsidies. This initiative allows small tea growers to become manufacturers and sell their tea at auction, providing greater opportunities for growth and prosperity within the small tea producing industry.

In Udalguri district, approximately 20 BLFs have been established, with potential for further growth due to Tea Board subsidies. These BLFs empower small tea growers by increasing their bargaining power and helping them overcome market bottlenecks, ultimately benefiting the district's small tea producers.