Chamraj - UNTEA - United Nilgiri Tea Estates Company
The living and working conditions of the laborers on remote tea plantations, such as Chamraj, were notoriously poor in its early days. In 1951, the Plantation Labor Act was one of the first initiatives to make estate companies responsible for the welfare of their workforce including the provision of housing, health care and education. Chamraj Estate changed hands in 1960 when the current owners, the Amalgamation Group, bought all businesses belonging to UNTEA from the Stanes family. Since then, Amalgamation has consistently invested in Chamraj and its laborers giving it a premier name in the industry.
Today, the factory at Chamraj is the largest in the Nilgiris and has the capacity to process up to 40,000 kilograms of tea every day for 6 days a week during peak production. While the trend of the domestic market was to switch to low quality tea due to surplus and drought, Chamraj maintained its high quality by reducing labor costs and upgrading its equipment.
Chamraj has positioned itself as a manufacturer of ethical tea, gaining Fair Trade, Rain Forest Alliance, and Kosher certification and is working on full organic certification. Nearly 10 percent of its sales are now Fair Trade, destined for the UK, Japan, Germany and the US. Chamraj hopes to eventually sell all of its teas as Fair Trade Certified™.
Fair Trade has improved the working and living conditions of laborers who come from all over the region to work at Chamraj. Educational funds have been a very important initiative for the development of the region. Fair Trade helps fund the higher education of laborers’ children and exposes them to new career opportunities while enabling them to support their retired parents. Retired workers are replaced by new migrant workers from the area, allowing other children the same access to education. This cycle has provided new opportunities for other poor families and children in the area. Projects like these are proposed and managed by a Joint Body or elected members, most of whom are women.
Rajagopal, 47, is a field supervisor and member of the Joint Body who has worked at Chamraj for 26 years. He has seen his mother benefit from the pension scheme and is reassured about his own retirement. He does not have to worry about his children taking care of him and is glad that they can pursue their education. ”
Our children are getting a good education here and once they leave this place they are getting better jobs. ”
We would love to sell all our tea as Fair Trade tea. That is not only good for the company as it yields higher prices but especially for the workers. Look what has been accomplished with the premium money and imagine what would happen if all our tea was sold as Fair Trade. Major changes could be achieved. ”
Upgrading a Computer Lab
The school's Fair Trade-funded computer lab originally had 12 computers but management was so impressed with students’ enthusiasm and progress that they bought another 28.
Funding and Equipment for primary and secondary education
The Fair Trade premium has provided craft equipment and abacuses to the estate primary school as well as extending the playground for the 280 children who attend. Tea estates must by law provide primary education in Tamil, but Chamraj also provides secondary education in both Tamil and English up to age 18 to prepare students for higher education. The premium also goes toward funding a portion of teacher salaries. English education is normally very expensive but parents here only have to pay a small fee for their children, most of whom are the first generation in their family to have access to this kind of education.
Pension Scheme for retired workers
This Pension Scheme was established nearly 12 years ago and is extremely popular with the workers. Because children move out of the region to pursue their education, they are no longer able to care for their parents in the traditional way. Workers receive this pension when they retire which allows them to be supported financially through their old age. So far, 164 workers benefit from these pensions.
Hostel for Secondary Students living far away
The premium has also helped pay for a hostel for secondary school students who live too far away to travel each day, as well as crèches and an orphanage.