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Ion Study Tea

The document provides an overview of tea production in India. It discusses the history and origins of tea cultivation in India in the 18th century. It notes that tea is now grown across several Indian states, with the largest production in Assam, West Bengal, Tamil Nadu, and Kerala. The document also summarizes key details about Nilgiri tea production in Tamil Nadu and provides lists of the top tea companies in India and organizations associated with the tea industry. Finally, it gives a brief company profile of The Frontier Industrial Co-operative Tea Factory Ltd., including its date of registration, start date, and commencement of production.

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0% found this document useful (0 votes)
206 views40 pages

Ion Study Tea

The document provides an overview of tea production in India. It discusses the history and origins of tea cultivation in India in the 18th century. It notes that tea is now grown across several Indian states, with the largest production in Assam, West Bengal, Tamil Nadu, and Kerala. The document also summarizes key details about Nilgiri tea production in Tamil Nadu and provides lists of the top tea companies in India and organizations associated with the tea industry. Finally, it gives a brief company profile of The Frontier Industrial Co-operative Tea Factory Ltd., including its date of registration, start date, and commencement of production.

Uploaded by

hishamhvba
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd

CHAPTER 1.

4
INDUSTRY OVERVIEW

Tea is cultivated widely both in North and South India. Cultivation in India its roots
when Robert Kyd experimented with it first in India ground the year 1780. In 1823 Robert
Bruce discovered tea in Bhramputhra Valley and it was only in 1834 that large scale planting
started in North India.

In South India it was Dr.Chirsty who experimented in Nilgiris in the year 1852 and it
was in 1859 that tea planting actually started in Nilgiris.

Presently in India tea is grown in an area of 482 lakh hectors spread mainly over
Assam, West Bengal, Tamilnadu and Kerala. Besides these states Tripura, Karnataka,
Himachal Pradesh also grows tea on a limited scale. Manipur, Sikkim, Arunachal Pradesh
and Orissa are same of the non traditional tea growing areas which have taken up tea
cultivation.

The phenomenon growth in tea productivity of over 60% in the last two decades
suggests a dynamism unknown in other core in agricultural and Industrial sectors and what is
more, is what tea is on the threshold of yet another major break through in productivity.

Tea is grown in different countries or even in different parts of same country, vary in
last flavour and quality. To obtain the best tea each tea company employs tea teasters who
select only certain teas for purchase. These teas after being bleaded by the company have a
flavoured for which the firm is known. Every company sellers of blend of tea under etc. own
brand name

5
QUALITIES OF TEA

In 1931, Mr.William Kerecher’s designing the C.T.C (Crush, tear and curl) machine
at Tocklai. It was only after 1950 that it gained popularity. Today 75% of Indians production
constitutes CTC manufacturing and 94% of are domestic consumption is of this variety.

The main features of CTC Tea is that it gives their the cuppage offered through the
conventional orthodox manufacturing. Also this process has gained popularity because of the
simplicity of manufacturing ability to handle coaress leaf and capacity to produce stronger
braw.

Quality is the ultimate objective in manufacturing technology. The quality of black


tea beings in the field, where the leaves accumulate the necessary substances, however
biochemical changes that develop during the course of processing the tea leaf and process
condition complete the formation of quality of manufacture tea.

The great popularity of tea as a beverage may be due to the presence of its remarkable
content of polyphenols and methylaxanthine (Caffine and other purnies). There to groups of
combined which are mainly responsible for the unique taste of tea, in addition to various
compounds associated with tea aroma. The chemical composition of the tea short varies with
the plant variety, cultural practices and the conditions under which the plant is cultivated.

Proteins are significant constitutes of the tea plant. However, since proteins combine
with oxidation products of fermentation and load to insoluble product. A high protein content
in the leaf is a undersirable factor. Amino acids from aldehydes and brown red pigments in
the course of their oxidation during fermentation. This is very important for the formation of
aroma and colour of the infusion.

6
TEA PRODUCTION IN INDIA

Growth of tea productivity over 60% in the last two decades suggests a dynamic
unknown in other areas of agricultural and industrial sector and what is more is that tea is on
the road to get another major break through in productivity presently in Indian tea is grown in
507196 hector spread mainly over Assam. Tamilnadu, West Bengal and Kerala. Besides
these states Tripura, Karnataka, Himachal Pradesh also grows tea on a limited scale.

Indian tea has a district presence in the world market with its Assam tea and
Darjelling boards commanding a significant position. India is the largest producer, consumer
and very recently the largest exporter too. In the present situation high prices of coffee lead to
shift in consumption pattern.

India is said to the largest producer consumer and exporter of tea in the world.
Though the share of India in global tea production has declined over the year, it is still retains
its status as the largest tea producer with 45% of the world output. Besides no other country
can be the best of producing so many varieties of tea Nilgiris, Assam, Darjelling are well
known for their different but distinctive characteristics.

India is also the largest consumer of tea nearly 24% of the global production and 75%
of the India’s total production is consumed in the country. There has been a significant
increase in productivity in the last 15 years. The number of gardens has up minified
registering and increase of 522 percent over 1951. Bulk of this increase particularly in the
small grows segment in Assam and North Bengal.

7
Top 10 Tea Companies in India

 Hindustan Unilever Ltd.


 Tata Tea Ltd.
 Duncans Industries
 Wagh Bakri Ltd.
 Private Label
 Goodricke Group Ltd.
 Golden Tips Tea Pvt.
 Hasmukhrai & Co
 Girnar Food & Beverages P ltd
 Sapat Packaging Industries

8
NILGIRI TEA

It is generally described as being a dark intensely aromatic, fragrant and flavourable


tea grown in the southern portion of the western ghats mountains of Southern India. It is
grown in the hills of the Nilgiris district of Tamil Nadu, though there are numerous other tea
district in South India as well including Munnar and Central Travancore, further South in
Kerala state.

Nilgiri Tea plantation are represented by the Nilgiri planters Association, which is an
organizational member of the united planters association of South India (UPASI),
headquarters in Coonoor. UPASI is the peak body representing plantation owners in South
India. However, plantation only account for around 30% of tea production in Nilgiri district.
The vast majority of production is undertaken by small growers, who typically own less than
one hector each. The majority of Nilgiri tea small growers are Badagas people, a local
community of agriculturists.

Tea plantation in Nilgiri district typically own and operates their own processing
factors small growers sell their tea as green leaves “bought leaf factories”, which are
independently owned. After processing, most is sold through regularly scheduled auctions in
Coonoor, Coimbatore and Cochin. More than 50% of Nilgiri tea is exported, and usually
finds which way into blends used for tea bags.

The expensive hand-stored , full-leaf versions of the tea like the Orange Pekoe (O.P)
are highly sought after the International auctions making it unafforable for most locals. In
November 2006 a Nilgiri tea achieved top honours and fetched a world record price of $600
per kg. This was at the first ever tea auction held in Las Vegas.

9
LIST OF ORGANISATION S ASSOCIATED WITH TEA PRODUCTION

.
 United Planters' Association of Southern India
 National Tea Research Foundation
 National Bank for Agriculture and Rural Development
 Assam Agricultural University, Jorhat.
 Darjeeling Tea Research and Development Center,
 Himachal Pradesh Krishi Viswavidyalaya, Palampur.
 North Bengal University, Siliguri.
 Darjeeling Tea Research & Management Association, Siliguri
 Tamilnadu Agriculture University, Coimbatore.
 University of Agricultural Science, Bangalore.
 Kerala Agriculture University, Vellanikkara, Trichur.
 M/s Neoland Technologies Laborotory, Guwahathi.
 Tamil Nadu Tea Plantation Corporation Limited

10
CHAPTER 2.

11
COMPANY PROFILE.

During 1980’s where only coffee plantation in Erumad and 5000 people understand
the advantage of tea against coffee which gives regular income than coffee, which gives only
yearly yield.

The frontier industrial co-operative tea factory limited was started with 98 numbers of
small tea growers residing in the area of operation to improve their standard of liking by
paying an economic rate for he green leaves supplied by them. The area of operation of this
factory is Erumad Ayyankolly, Cherambadi,Kayyuunni, Munnanad,Kottur,Manavayal,
Thalur, and Kolapally revenue villages. The factory was constructed in government land in
S.N.157/1 to extent of 6.83 acres and remitted a sum of (i.e., capital) Rs.4.72 lakhs during
august 2004 and requested for the alienation of the land to this factory.

The cultivators become aware of the need of the factory in this locality which
may solve their difficulties. They formed an association and approached the Tamil Nadu
government authorities in 1981 in order to implement their ideas.

The government supported the association and the factory was registered under the
section 9(1) of the Tamilnadu co-operative societies act 1961 on 23/06/1981 and started on
27/06/1981 but it commenced its production from 12//10/1986 because of the lack of a
factory building.

1. Name of the factory : The Frontier Industrial


Co-operative Tea Factory Ltd.,
2. Date of Registration : 23.06.1981
3. Date of starting : 27.06.1981
4. Date of commencement of Production : 12.10.1986

12
SERVICES RENDERED BY THE FACTORY

According to the seasonal needs, the factory is distributing Agricultural inputs like
fertilizers, plant protection chemicals, plant protection Equipment etc.,to the members tea
garden along with latest technical guidance for proper usage and implementation for
harvesting quality green leaf.

LAYOUT OF THE FACTORY PREMISES

The factory got 6.83 acres of government land for its functioning. The land
layout is as follows.

TABLE SHOWING LAND LAYOUT

S. No. Land Occupied by Area Covered

1. Factory Building 2.0

2. Nursery Garden 1.0

3. Fertilizer Godown 0.3

4. Mini Health Centre 0.3

5. Government Staff Quarters 0.4

6. Factory Own Tea Plantations 2.83

13
2.a COMPANY MISSION

 To provide job opportunities to people in backward area and thereby increase their

standard of living

 Maximum exploitation of opportunities for growth and to generate optimum

returns

 To contribute for the overall well being of the society

 To reduce information time

2.a COMPANY VISION

Almost the target of The frontier industrial co-operative tea factory limited is

To promote,

 With continued service to employees

 Company is pressing ahead to machine its ambition of attaining the highest

position among the top tea factories.

14
2.b ORGANISATIONAL STRUCTURE

JOINT DIRECTOR/SPECIALOFFICER

INDL.CO-OPERATIVE OFFICER

PURCHASE & PRODUCTION MARKETING &


FINANCE MANAGER MANAGER SALES MANAGER

ASST. MANAGER PERSONAL ASST.PRODUCTION ASST.MARKETING


MANAGER MANAGER MANAGER

ASST.ACCOUNTS ASST.PERSONAL TEA MAKER AREA MANAGER


MANAGER MANAGER

EXCISE & STOCKE CASHIER FACTORY ASST SALES


EXECUTIVE

TRESSARY ASST LEAF


CONTROLER SUPERVISOR

WORKERS

SECURITIES

15
2.c. OWNERSHIP PATTERN

The frontier industrial co-operative tea factory Ltd.,was started with 98


members and have gradually increased and as on the date there are 2090 members on
roll. The performance of the factory for the past five years is furnished below. The
share capital structure of the factory(Government & Members) is as follows

S.NO YEAR GROWTH OF SHARE CAPITAL


MEMBERSHIP (in Lakhs)

1. 2004-05 2098 93.88

2 2005-06 2108 93.90


.
3. 2006-07 2108 93.90

4. 2007-08 2108 93.89

5. 2008-09 2098 123.77

6. 2009-10 2090 123.47


(upto FEB`10)

16
2.d.AREA OF OPERATION

The area of operation of this factory is in the Nilgiris district which include the areas such as

 Erumad
 Ayyankolly,
 Cherambadi,
 Kayyuunni,
 Munnanad,
 Kottur,
 Manavayal,
 Thalur,
 Kolapally revenue villages.

17
2.f . PRODUCT MIX:

. The products that are generated from tea are classified according to the processing
methods,such as

1. Black tea
2. Green tea
3. Oolong tea

Black Tea

To make black tea, workers first spread the leaves on shelves called withering lacks.
Air is blown over the leaves to remove excess moisture leaving them soft and flexibile. Next
the leaves are crussed between the rollers of a machine to release their flavourful juices. Tea
in the fermenting room the leaves change chemically under controlled humidity and
temperature centill they turn brownish in colour finally the leave leaves are dried in oven and
become Brownish-Black.

Green Tea

It is made by steaming the leaves in large vass. The steaming prevents the leaves from
changing colour. The leaves are then crushed in a machine and dried in over.

Oolong Tea

Oolong tea is made by partially fermenting the leaves. This gives tea leaves a
gerreish-brown colour.

To sort the processed tea leaves by grade, they are passed through a class screens
with different size holes. The largest leaves selected for packing a loose tea are classified in
order of size as orange pekoe, pekoe and pekoe souchang the smaller or broken leaves
generally used in teabags are classified as broken orange peoe, broken orange pekoe funning
and funnings.

18
2.g. FINANCIAL PERFORMANCE

The financial performance of the factory is evaluated on the basis of stability between
the production and sales

As far as the business turnover of the factory is concerned, the factory commemced its
production only from 12.08.86 onwards and the production and sales details for the past five
years are as below

S.No Year Green Leaf Leaf Cost Production Value of


Purchased Paid Target Achieved Sales
Fixed (in lakhs)
1. 2004-05 50.03 6.46 11.00 12.23 484.03
2. 2005-06 36.51 4.61 15.00 9.02 300.47
3. 2006-07 38.76 7.62 14.00 10.21 439.83
4. 2007-08 39.47 6.74 11.00 9.65 403.44
5. 2008-09 48.09 11.24 12.00 12.00 772.45
6. 2009-10 57.09 12.45 12.00 12.98 878.11
(Upto
feb 10th )

The profit and loss made by the company in last five years is also listed below which help us
to evaluate the financial performance

S.No Year Profit /Loss

1. 2004-05 (-)10.08
2. 2005-06 (-)21.07
3. 2006-07 (-)31.18
4. 2007-08 (+)45.12
5. 2008-09 (+)50.72
6. 2009-10 (+)20.82
(Upto feb 10th )

19
2.h. HR POLICY:

All HR or personal initiatives are undertaken to organized the HR


policy of enabling the employees to be the part of a family of work class
professionals by establishing entire HR about the relevance of empathy, love
and dedication in producing tea.

20
2.i. QUALITY POLICY

The frontier industrial co-operative tea factory limited an industry is committed

“to supplying products to the agreed requirements of customer to achieve customer

satisfaction and quality improvement is the responsibility of energy employee”.

Quality Control

The frontier industrial co-operative tea factory limited they resolvedly trust,

quality does not come on the way. It’s a commitment that should be laid into hand work to

attain the land mark. It’s this credence that router the company’s approach to quality

assurance.

The quality assurance methods such as advanced product quality plan, Control

techniques, effective tool management system, process capabilities ladies, preventive

maintenance etc., from the basis of its quality management system.

21
CHAPTER-3

3.a. DUTIES AND RESPONSIBILITIES OF DEPARTMENT HEAD AND


MEMBERS:
22
PURCHASE & FINANCE DEPARTMENT:

Head:
 Analyzing the climatic changes as it would affect the cultivation which inturn
reduces the purchase of green leaves.
 Provide funds to their members for purchasing fertilizers and equipments that
help the company to increase the purchase and production
 Maintain the stability between the production and purchase.
 To procure materials economically at a cost consistent with
the quality and service required
 To promote source development
 To develop and maintain good buyer-seller relationship.
 Analyzing the rate.
 Inspection of items .
 Issue of Purchase Orders.

Members:

 Negotiation with supplier regarding the rate


 Prepare comparative statement for approval
 Generating purchase order
 Maintenance of purchase records.
 Follow-up of purchase orders for delivery in due time
 Development of reliable and alternate sources of supply
 Issuing enquiries/tenders and obtaining quotations
 Selection of suppliers for issue of enquiries
 Receiving items from supplier against purchase order
 Receive quotation from the suppliers and forward it to the Head of the
department

23
PRODUCTION DEPARTMENT

Head:

 Maintain a professional appearance that reflects the company’s commitment to


quality, continuous improvement and respect for individuals
 Supervise the Production Team to produce and prioritize jobs and, when necessary,
reorganize to meet deadline changes and updates
 Update and maintain production schedule
 Maintain production control records and provide information to sales representatives,
customers and management with regard to delivery • dates, schedules and operating
problems.
 Schedule, plan and conduct Morning Production Meetings
 Prepare, update, and communicate the production schedule
 Oversee all staff scheduling, time off requests and overtime
 Manage the coordination and control of all jobs/work orders
 Assures all staff has the resources, software applications and information to perform
their functions
 Ensure employee safety training is conducted as required by Company policy

Members:
 Meet all customer commitments through the production of timely, efficient and high
quality products
 Assures all work entered into production follows the order entry standards and
procedures
 Organize workflow according to workload to meet delivery schedule and to complete
assigned jobs
 Ensure the completion of all duties with a minimum of waste and abuse to equipment
 Initiate hiring when needed to cope with expanding workload or for replacement of
substandard employees
 To help the department in taking actions to manage production costs and improve
profitability
 Inform the department head of about some production problem

24
MARKETING & SALES DEPARTMENT

Head:
 Preparation of product wise, month wise annual sales plan for each
area.
 Publication of annual report of division
 Monitoring and reporting of competitor's sales as per Performa Prescribed
 Aggressive promotion efforts to establish brand name and gain market share
 Create effective marketing mix
 Establish company image of high quality, great value for money
 Find distribution deal with main tea shops, supermarkets in India
 Try to gain market share of competitors by converting their royal
customers.

Members:

 Collection, analysis and compilation of region wise, area wise


sales performance of own and purchased products for providing
information to management on achievement against the target on a
daily basis.

 Submission of monthly performance report of the division to the department head


Ensuring product availability, dispatch monitoring and inventory
Control

 Submission of various statements to the department for publication in their


Tea statistics yearbook.

25
3.b. DEPARTMENT OPERATION

PURCHASE DEPARTMENT:

Purchase Bid evaluation Entering into Purchase order


Requisition Contracts

Raw material Raw material


requirement Transporting

Raw Materials Raw material Payment Inspections


Department Storing

Production
Plan

The purchase procedure covers the following areas of procurement of all needs &
wants for the company.
 Capital items (For project and other purposes).
 Equipment and spares.
 Raw material & Intermediary materials
 Package items involving design, supply, and commissioning

26
PRODUCTION DEPARTMENT

1.Production 6. Plant
targets Maintenance

2.Approval of 5.Checking Deviations


production plan from plan

3.Raw Material 4.Monitoring production


Availability

 Annual production targets for the next year are prepared based on installed
production capacity of the plant and production data for the previous year.
 Necessary feedback is also taken from marketing department while fixing the
production targets.
 The production and consumption ratios for the previous years are duly
considered. All the data are compiled to form the production budget.
 A copy of the production budget is sent to the finance department for
preparing finance budget.
 The production plan and budget are then presented to the govt. for approval.
Based on the production plan, purchase department initiates action for
procuring raw materials.
 Production planning department receives data from all the plant and other
interfacing departments and compiles them.

27
MARKETING & SALES DEPARTMENT

1. Market Research 5. Sales Report

2. Calculating
Requirements

3. Distribution 4. Selling Product

 Market Research department takes care of collection, analysis and


interpretation of data relevant to tea market and preparation of product wise,
month wise and annual sales plan for each area.
 The sales department monitors and reports competitor's sales and collects,
analyzes and compiles region wise and area wise sales of performance and
purchased products for providing information to management on achievement
against the target.

 The distribution department finds out the various depots as per the Information
given by sales and sells the products and subsequently sales Report is prepared.

28
3.c. SKILL SETS FOR EACH DEPARTMENT

PURCHASE DEPARTMENT

 Excellent negotiation skill


 Tactical skill
 Analyzing and evaluation skill
 Sound technical knowledge on equipments
 Quality assessment skills
 Monitoring skills
 Sound knowledge on raw materials

ACCOUNTS DEPARTMENT

 Good management and accounting skills


 Ability to forecast financial prospects
 Observing skill on changing financial trends
 Skills to prepare financial statements
 Corporate planning
 Statistical skills
 Tactical skills in meeting financial commitments

29
PRODUCTION DEPARTMENT

 Efficient decision making


 Excellent communication skills
 Leadership ability
 Analyzing skills
 Skills on Time management
 Skill at procuring items at affordable cost
 Better interpersonal skills
 Wide knowledge on production
 Ability to provide quality items at minimum cost

MARKETING & SALES DEPARTMENT

 Creativity skills for product promotion


 Advertizing skills
 Interpersonal skills
 Excellent social sills
 Analyzing skills
 Skill of predicting corporate move
 Excellent knowledge on current market trends
 Ability to identify needs and wants of customers
 Skills to maintain a healthy distribution channel

30
CHAPTER-4

PROPOSED IDEAS TO MARKET SILVER MIST TEA

31
4.a. Introduction

Marketing is all about identifying and meeting customer needs. Many Businesses
consider this so important that they are said to be marketing led. In this case, everyone in the
organisation is trained to put the customer first – from the production worker, who has to
produce high quality goods, to the accounts clerk, who must respond to a customer enquiry
promptly and accurately. Sales function deals with all aspects of selling to customers; the
marketing function carries out marketing research, organises advertising and product
promotion

OBJECTIVES
 Monitoring of sales & distribution
 Liaison with bulk buyers, retail outlets and customers
 To offer consumer best health advantage through silver mist Tea.
 To establish as market leader in tea industry
 To enable silver mist Tea to satisfy, fulfill the consumer’s personality & lifestyle
 To increase silver mist Tea’s popularity as an icon in Tea market.

4.b.ORGANISATIONAL CHART FOR MARKETING DEPARTMENT

MARKETING &
SALES MANAGER

ASST MANAGER

SALES MANGER DISTRIBUTION


MANAGER

AREA MANAGER AREA MANAGER


(TAMIL NADU) (KERALA)

32
4.c. MARKETING DEPARTMENT FUNCTIONS

 Sales
 Market Research
 Preparation of sales report
 Processing and sending replies to audit queries at the divisional level
 Liaison with bulk buyers, retail outlets and customers
 Sales force motivation through internal and external training
 Carrying out market research to obtain feedback on potential of the tea
 Analysing market research responses and advising senior managers of the
results and implications
 Promoting silver mist tea through a variety of advertising and
promotional methods, e.g. press, TV, sponsorship and
trade shows or exhibitions
 Obtaining and updating a profile of existing customers to target advertising
and promotions appropriately
 Producing and distributing publicity materials, such as catalogues or
brochures

33
The Marketing department consists of various sub departments organized
on the basis of their function. They are:

 Sales Department
 Distribution Department

SALES DEPARTMENT

The sales department is headed by a Sales Manager who is responsible for sales
coordination of function across various depots, conduct an effective market research for
analyzing market and calculating the demand and finally promote the sales of tea.

SALES FUNCTIONS:

 Organising sales promotions


 Responding to customer enquiries
 Selling the Silver Mist Tea to customers,
 Preparing quotations or estimates for customers
 Negotiating discounts or financial terms for business customers
 Providing technical advice
 Keeping customer records up to date

DISTRIBUTION DEPARTMENT

Physical distribution of tea is a major function of the marketing division. Distribution


Manager should be entrusted with planning, monitoring and implementing of tea distribution
and co-coordinating the movement from the factory.. The marketing network of Frontier
Indico Tea factor can spread over the states of Kerala, TamilNadu as it is easily accessible.

34
4.d. STP FOR THE SILVER MIST TEA

Segmenting:
According to buying power and purchase patterns, the market for tea can be classified
into three major segments

Lower segment:
This includes tea consumed in the rural areas and in the urban areas in the lower
households like office staff,labour etc.this segment accounts for almost 70%* of the total
market

Middle segment :
This includes middle upper income households in the urban areas. It accounts for
about 20%* of the total market

Upper segment:
This includes the tea consumers in the upper income segment of the society,
accounting for 10%* of the total.

Targeting:
The company targets the whole family ie anyone in the family can drink the tea.

Positioning:
The firm can position its product in various ways to develop or enhance it’s
value to the consume in according to
 Product Characteristics / Consumer Benefits
 Price Quality
 Use or Application
 Product User
 Product Class
 Culture Symbols
 Competitors

*Estimate based on field observation

4.e. Marketing Mix for Silver Mist Tea

35
Product

 Silver Mist Tea is a high quality product offered as specially blended


black herbs tea.
 Contents of Silver Mist Tea can be of :
40 bags, 80 bags, 150 bags, 250 bags (Family pack)
 The amount of bags refers to different target groups. 40 bags for singles,
80 bags for couples,150 bags and 250 bags are Family Packs

Place
The final product may be distributed to
 Supermarkets
 Retail shops
 Miscellaneous shops so the end consumer has easy access to it..

Place in supermarket:

 On the middle and lower levels the Silver Mist Tea may be placed
according to the content of tea bags. 40 bags is placed higher than the ones
containing more bags.

Price

Silver Mist Tea is also competing against the main player on the
Indian Tea Market like Hindustan Unilever & Tata Tea. Various promotion
activities, giveaways and advertising on local television channels will help the
brand to gain market shares in rural and urban markets. Please refer price list
of select tea brands given in the next page. The company may adopt an
appropriate pricing strategy supported by further research.

36
Price list of different tea grades:
Dust grade:

SRD ( Super Red Dust ) - Rs 58/-


SFD ( Super Fine Dust ) -Rs 65/-
FD ( Fine dust ) -Rs 60/-
RD ( Red Dust) -Rs 60/-
PD (Pico Dust ) -Rs 55/-

Leaf grade:

BOP (Broken Orange Pecos ) - Rs 70/-


BP ( Broke Pecos) -Rs 75/-
B.O.P.S( Broken Orange Peco Super ) - Rs 210/-
B.O.P.F (Broken Orange Peco Finish) - Rs 68/-

4.f. Promotion

Silver Mist Tea has to set up a stand in the supermarket in order to


make tasting to the supermarket’s customer. The stand should be placed
between the fresh food and the food with the aim to attract all the consumers.

 Promotional offers during the year: If a customer buys a box of 150 bags,
(s)he will get a free cup or a spoon or a little kettle.

 During two months, they can organize a game: when the customer buy Silver
Mist, they win some points and with certain numerous of points, they get a
present which represents the brand image.

37
CHAPTER-5

38
SUGGESTIONS

There are certain suggestions, which can help to improve the productions and sales of

the company in future.

1. Company can distribute free sample packets through public distribution system (PDS)

of the state government as it is observed that various company is distributing soaps

and toothpaste. eg: Vim dishwash bar,Colgate tooth paste

2. Company should take more interest in creating awareness about the products for the

rapid increase in sales.

3. Necessary technical training to the supervisors in the organization are needed so that

they can effectively lead and guide the organization..

4. Modern techniques of production can be adopted.

5. Pollution control measures should be adopted, in order to reduce the sound pollution

and dust, in the organization.

6. Appoint techniques such as JIT, MRP for effective material management.

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CHAPTER-6

40
CONCLUSION

FRONTIER INDCO Tea factory situated in Nilgiri district of Tamilnadu has

distinguishing sales policies.

The factory locations of Nilgiri are mainly helpful for its growth because in here raw

materials and Labour force are easily available. In this factory raw materials are collected

from the members of the firm. Various departments are functioning under this unit. This will

help in the smooth running of the factory.

The training has helped me to interest in business side of this factory. It was a

pleasure for me to do training in this field. During this period of my training my knowledge

about the practical side of the business was boosted to a great extent.

It is recommended that the proposed ideas to market Silver Mist Tea would be of

great help in future for the company to increase the market potential of the this product

Further it would be advantages of the company would broader its sales distribution

network. So the company can maintain a stable demand from various carriers of the world.

On the whole, the sales activity’s of frontier tea factory producer on smoothly will

boosting up to the sales as years pass by the factory has steady and sustained growth.

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CHAPTER-7

42
BIBILIOGRAPHY

Annual report : The Frontier Industrial co-operative Tea Factory Erumad


HRD Register : The Frontier Industrial co-operative Tea Factory Erumad

Websites

www.niteaauction.com

www.teaandcoffeenet/resource

www.tamtea.co.in

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