Tea Industry Applauds Budget Move as Centre Extends PMCSPY and Strengthens Worker Welfare

Guwahati: India’s tea sector has warmly welcomed the Union Budget 2026–27 after Finance Minister Nirmala Sitharaman announced a one-year extension of the Pradhan Mantri Cha Shramik Protsahan Yojana (PMCSPY). Industry bodies say the decision will significantly advance welfare measures for tea estate labourers.

Unveiling the Budget in Parliament on Sunday, Sitharaman confirmed that PMCSPY, first launched for the financial years 2024–25 and 2025–26 with a total allocation of ₹1,000 crore, will now remain in force through 2026–27. The scheme is designed to improve the living and working conditions of tea workers, with a particular focus on women and children in Assam and West Bengal.

The Tea Association of India praised the continuation of the programme, stating that it will help sustain vital efforts in healthcare, education, and community support within tea-growing regions.

“The tea industry is grateful to the Finance Minister for extending the PMCSPY for another year. It has made a meaningful difference to the lives of workers and their families, and its continuation will further strengthen social infrastructure across the estates,” the Association said in a statement.

The budget has also taken steps to address longstanding concerns over social security for plantation workers in Assam. Fresh provisions under the demand for grants will support a family pension-cum-life insurance facility through the Deposit Linked Insurance Scheme. This includes the Central Government’s contribution as well as reimbursement of administrative expenses for workers covered under the Assam Tea Plantation Provident Fund.

According to industry representatives, this measure will offer greater financial reassurance to plantation workers, enhancing the sector’s broader safety net.

Beyond tea, the Union Budget places strong emphasis on agricultural modernisation, rural empowerment, and technology-driven growth. A major initiative, “Bharat-VISTAAR,” has been unveiled as a multilingual, AI-enabled platform combining AgriStack data and ICAR expertise to provide region-specific agricultural advice to farmers.

Other highlights include a ₹10,000 crore MSME Growth Fund aimed at nurturing scalable enterprises, mandatory TReDS payments by CPSEs to ease cash flow pressures on MSMEs, and increased investment in tourism, infrastructure, and long-term energy security.

Industry observers have described the Budget as forward-thinking, noting that its focus on reform and inclusive progress aligns with the larger national aspiration.

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