Tea Board pushes for more transparent, efficient tea auctions

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Guwahati: Tea Board India organised a seminar on “Reforms in the Implementation of Pan-India e-Auction” under the Government of India’s ‘Reform Utsav’ initiative.

The seminar focused on strengthening transparency, improving price discovery and enhancing the efficiency and competitiveness of India’s tea auction system.

The seminar featured distinguished speakers from the tea industry, including C. Murugan, Deputy Chairman, Tea Board India, Prof. Sreelata Jonnalagedda, IIM Bangalore and other prominent speakers from the industry.

Introduced in 2016, the Pan-India e-Auction system enabled buyers registered at one auction centre to participate in auctions across other centres under a common electronic platform. It aimed to integrate auction centres across the country, harmonise auction procedures, and establish uniform rules and a transparent, efficient auction process across all centres. The subsequent introduction of an integrated online post-auction settlement mechanism in 2018 further strengthened financial transparency, facilitated timely settlement of payments and reduced manual intervention.a more integrated, uniform and technology-driven auction mechanism that could facilitate wider participation, greater transparency, faster settlement and improved efficiency.

These reforms have contributed to wider buyer participation and sustained auction activity. The number of buyers participating across auction centres increased from 1,702 in 2015–16 to 2,417 in 2025–26. Similarly, the volume of tea sold through auctions rose from 518.08 million kilograms in 2015–16 to 643.89 million kilograms in 2025–26. The auction system also provides important price benchmarks relevant to the determination of green leaf prices paid to small tea growers.


Sources said that a key area of focus was the next generation web-based tea auction platform, which aims to improve accessibility, provide a user-friendly interface and reduce operating costs. The proposed user charge of 7.5 paise per kilogram of tea sold, against the existing charge of 12 paise, is intended to reduce the cost burden on stakeholders. The platform has been rolled out in Kolkata, Coonoor and Dibrugarh, with implementation at other auction centres envisaged subsequently.

The seminar also highlighted the work of the Auction Reforms Committee, constituted with representation from major tea industry associations. Its phased approach includes improvements in sampling norms, lot standardization, introducing ex-estate sales, reduction in auction lead time followed by measures relating to wider Pan-India participation, warehousing reforms, grade standardization and an integrated transaction platform.

The seminar underscored the importance of continued collaboration between Tea Board India and industry stakeholders to build a more transparent, efficient and competitive tea auction ecosystem and strengthen the long-term development of the Indian tea industry.



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