There are problems with the tea industry. India is the highest-cost producer among all tea-producing nations, while the price for selling tea has remained stagnant. Tea plantations were set up by the British to cater to overseas markets. During the Cold War, , Russian buyers offered unviably high prices for Indian tea. The industry minted money, a good part of which was diverted to property and lifestyle. The collapse of the USSR in 1991, should have discouraged further growth in production. but the Tea Board set higher levels for production promising increased opportunities in India and abroad. rom 1991, India’s tea production grew 60 per cent, but exports remained stagnant. Board had failed in regulation, its inspections were “non-transparent”, the subsidy schemes didn’t deliver, research was not fruitful, and even the internal audit was weak. The industry associations have no representation on the board, which is loaded with politicians and chosen ‘experts’.A planter has no right to decide how many labourers he needs. He cannot explore if the land can be used more profitably through any crop other than tea. States and trade unions are overloading planters with social obligations taking advantage of an archaic Plantation Labour Act such as building hospitals, houses, and schools which are really the responsibility of the government.