Tea land rehabilitation & value chain development project – Aruna Tea

Tea land rehabilitation & value chain development project

Enhancing income and subsequent livelihood activities of rural poor farmers by improving productivity of smallholder tea growers through re-plantation and in-filling practices
Project implementing areas: Kalutara and Ratnapura districts
Project Period: 4 years
Target beneficiaries: 3,000 smallholder tea growers
Total project cost: Rs. 271.8 million
Investment per beneficiary: Rs. 90,620
Guaranteed buyer & market: Aruna Tea Factory Ltd.
Project activities and benefits
• Arrange affordable credit facility (Rs. 18,975) at 6.5% interest rate and a grant facility, worth of Rs. 24,510 and to make the farmers bankable
• Provide quality plants and shades plants
• Improving productivity of green leaf production through re-planting and in-filling practices
• Deploy a mobile testing unit for on-site soil sample testing of the beneficiaries on continuous basis
• Increase the direct sales volume from 10% - 25% through investment in direct sales outlets, value addition and export orders
• Provide technical training, exposure visits and extension support
• Train the beneficiaries on financial literacy and household budget management for better sustainability of the partnership
• Educate beneficiaries on impact of climate change, resilience with adaptation of mitigation measures, nutrition, solid waste management, and gender
Youth empowerment
Creating youth entrepreneurships by providing affordable credit facility for;
• Establishing 30 mini plant nurseries with a capacity of 50,000 plants per annum
• Production of composting
• Green leaf transportation to factory
• Aruna Tea Factory Pvt. Ltd.
•Smallholder Agribusiness Partnerships Program (SAPP)
• Commercial Bank
• Smallholder tea growers