Testing Tea industry’s Economic Wellbeing in India

Abstract

The present study analyses the economic wellbeing of Tea industry of India as well as tries to assess the financial soundness and stability of the said industry in terms of Altman Z score model for the period, 1991-92 to 2009-10. Moreover, SWOT analysis and Porter’s 5 forces model have been done to identify the strength and weakness of the said industry. The analysis of the result reveals that tea industry is either in grey zone or nearly safe zone during our study period. The research concludes with a note of optimism that Tea Fund (SPTF) set up by commerce ministry to implement uprooting and replanting programme would help in improving productivity and yield and thereby reduce cost in years to come.

Keywords: Altman, tea, industry, economic, wellbeing, India.

JELClassification: L6, L69.