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Tyeab’s
parting words as CTTA chief for tea industry
Sri
Lanka’s biggest tea exporter Akbar Brothers Director
Tyeab Akbarally, last week stepped down as the Chairman of
the Colombo Tea Traders Association (CTTA) Chairman after
a four year-stint. His speech at the CTTA Annual General Meeting
at which British High Commissioner Dr. Peter Hayes was the
chief guest and had the presence of Plantation Industries
Secretary Ms. Indrani Sugathadasa and Tea Board Chairman Lalith
Hettiarachchi, was frank, thought provoking and an eye opener
for not only tea industry but all other stakeholders too.
Here are excerpts.
Despite being conscious of the realities of the situation,
which I had acquired through my association of many years
with the Tea Industry, when , almost three and a half years
ago I was elected as Chairman of the CTTA, I took on this
responsibility with a sense of naïve idealism. As would
have my immediate predecessors, I too, resolved to arrest
the gradual erosion of, and if possible restore to some extent
the revered traditions of the Industry, which had sustained
it for over a century; to persevere with their endeavours
to convince the diverse stakeholders of the Industry to close
ranks and act as a single entity, rather than advancing their
own agendas, to make a further effort to re-establish the
dignity of the auction rooms, where, in the past, the Brokers
enforced their authority, even-handedly, ensuring an environment
of decorum; to take the necessary steps towards reinstating
a greater measure of discipline, in keeping pace with a growing
Industry, where a level playing field would be afforded to
every member of the Trade. I did not meet with the success
I expected and aspired to, albeit not through a lack of trying.
We all came to realise, eventually, that the pace at which
the Industry had grown, in annual production, in weekly auction
volumes and the number of lots on offer, the proliferation
in the number of buyers and sellers and the significant increase
in the intensity of competition, would take more than one
man, or even a few good men, to achieve this. It requires
the commitment of everyone, which, considering the magnitude
of the Industry, was a daunting, if not impossible, task.
I have also realised that one cannot turn back the clock and
that one has to move with the tide of time, accepting changes,
whether for the better or for the worse, with a degree of
composure. Nonetheless, I wish my successors better fortune
in their endeavours towards this end.
I do hope that these opening remarks have not created in the
minds of our distinguished guests a misconception of the Tea
Industry. My disappointment emerges from the very high standards
many of us, in the Industry, set ourselves. Therefore, I hasten
to add that, although we have not been able to achieve these
ambitious aspirations, the Tea Industry stands out as a model
of good governance, credibility and professionalism from amongst
almost all other commercial sectors in the country. We are
still very proud of our Industry and what better example of
our accomplishments than the surpassing of the US Dollars
One Billion value in export earnings on tea in the year 2007.
I believe many of you would have thought that I will make
this the theme of my address this evening. This is indeed
a commendable achievement, towards which all stakeholders
have collectively contributed. However, so much has already
been written and said about it, that I did not wish to be
repetitious. In fact, the Annual Report of the Committee of
the CTTA has made this its lead statement, devoting over two
pages to it.
Nevertheless, before I leave the subject of prices, I am constrained
to make reference to costs in production, which moved up by
over 25 percent in 2007. With spiralling inflation and unbridled
increases in oil prices, which have propelled energy costs
to unprecedented levels, the Industry would have to contend
with even greater costs, not only in production, but in every
other link of the supply chain. The question then is whether
even the lucrative prices that Ceylon Tea is commanding globally,
will be sufficient to absorb costs. There is no doubt in my
mind that, unless future wage increases in the Plantation
Sector are linked to productivity, the Industry will plunge
into self-destruction. It will precipitate the demise of the
goose that has laid numerous golden eggs in the past.
Sustainability
“Sustainability” is a contemporary buzz-word and
we, in the Tea Industry, must be sensitive to it. Advancing
ecological issues has become fashionable and, indeed, indispensable.
Global Warming, the Greenhouse Effect, Carbon Credits, Energy
Efficiency, Alternative & Renewable Energy and Environmentally
Friendly Resources are capturing the attention of everyone,
from world leaders to small farmers in remote rural areas.
The Sri Lanka Tea Industry took a lead role in addressing
these issues at the Colombo International Tea Convention 2007,
the theme of which was “SUSTAINABILITEA”, representing
a pun, through the substitution of the last two letters with
the word TEA. There were accolades in profusion for the content
and the programme of the convention and its organisation.
A wide spectrum of subject, from Agricultural Practices, Technical
Parameters and Social Responsibilities to Logistics of the
Value Chain, Strategic Planning for a “Way Forward”
and Innovative Marketing Initiatives, concerning the inter-relationship
between Tea and Sustainability were deliberated, under the
guidance of erudite speakers and complemented by the enthusiastic
participation of equally accomplished delegates. It provided
much food for thought.
I would like to pause, here, for a moment, to go back in time,
to reflect upon the beginnings of the Tea Industry, 141 years
ago in Ceylon, as our country was then known. In deference
to our Chief Guest, I would like to recall the contribution
his countrymen made to our Industry, in particular, and in
the course of its development to our country in general. In
introspection, one cannot but admire, with deep gratitude,
the indomitable spirit and the profound sacrifices made by
the pioneers of the Industry, who travelled to this remote
and largely uncharted country from a far-off land, with a
culture and climate diametrically different to ours. They
were exposed to unfamiliar and harsh conditions, diseases
they had never heard of and to which many of them succumbed.
They endured emotionally devastating loneliness and homesickness
with the constant threat from wild animals, whilst they cleared
virgin forests on harsh terrain, to nurture the “green
gold” that is now craved for around the world. They constructed
and developed roads and railways, and other infrastructure
that facilitated, and still does, the supply chain of our
great Industry. They left us a legacy on which a value cannot
be placed. They also set standards which were to ensure the
sustainability of the Industry, by introducing traditions,
customs and conventions that strengthened its foundation.
Industry unity
May I now tread on sensitive ground by touching on the mindset
or the psyche of the Tea Industry. It comprises three broad
sectors, the Buyers or Exporters, the Sellers or the Producers,
and the Brokers, who are also the Sellers’ Agents. These
sectors are made up of various different groups with distinct
functions and interests.
They all have a vital role to play and are the true stakeholders
of the Industry. These stakeholders should all work in harmony
for the greater benefit of the Industry, but they do not!
Instead, they pursue their parochial agendas, seeking short-term
advantages over their counterpart stakeholders. This has placed
the Industry in poor light in the eyes of the politicians
and state officials, who constantly urge the Tea Industry
to follow the example of another leading Industry, which more
recently emerged into the limelight and has developed at a
phenomenal rate.
They attribute this to the fact that all sectors/stakeholders
of that Industry speak with one voice and pull in the same
direction, which is always in the greater interest of their
Industry. Consequently, they secure concessions and other
benefits, which are denied to the Tea Industry, which indulges
in one-upmanship and squabbling over trivial matters. This
must stop! We must yield our personal agendas to those of
the Industry at large, if we wish to move forward. We have
incredible talent and skill within the Industry, which can
yield us huge benefits if only they could work in unison.
Against all odds, we have surpassed the elusive US Dollar
One Billion barrier in export earnings. Let us not look back,
but rather, work together to successively exceed this performance.
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