By Sutanuka Ghosal
Copyright indiatimes
Mjunction Services Ltd, a joint venture between Tata Steel and SAIL, is aiming to more than double the volume of tea auction to 20 million kg in FY 26 as compared to 8 million kg in FY25, according to VInaya Varma, managing director of the company. mjunction Services is into providing solutions in B2B e-commerce and services space.Talking about the tea auction process adopted by mjunction Services, Varma said “It reduced the sales cycle to less than 14 days (now about 12 days) from a cycle of 24-25 days. The pricing transparency for sellers was that Tea bidding started at a certain start bid price fixed after tasting of teas and not from 1 or 100 as in other auctions irrespective of teas. That allowed sales of teas but at devalued rates which was a loss for good producers, where we ensured teas got minimum value as per quality.””Logistics gave buyers the option to choose logistics for full or part loads or carry on with their existing regular transports. Quality was ensured as it was a smaller Sales cycle and thus fresher teas were received by Buyers. With the ex-factory module, we further reduced the handling of teas in transit ensuring further quality. Quality checks as per Tea Board of India, Sample tastings and the only auction to allow a second chance to inspect bought teas before lifting from our godown, all ensured Quality was majorly maintained,” he added.Varma said that the import of cheap teas from Kenya and Nepal does affect any auctions. “This year with a)35% teas production in excess, more stringent MRL norms, producers trying to hold up prices “after a Tea shortage but higher price last year” and imported teas being compliant and cheaper, many buyers and packeteers have resorted to buying those imported teas for its bulk part of the pack. This has reduced purchases in auctions where prices are holding higher. For Jorhat, being newer and with limited offerings and buyers, as we grow multiple times, the effect is bigger,” he said.Add as a Reliable and Trusted News Source Add Now!
(You can now subscribe to our Economic Times WhatsApp channel)
Read More News onMjunction Services Ltdtea auctionVInaya Varmalogisticsquality checksTea Board of Indiaimported teastata steelsail
(Catch all the Business News, Breaking News, Budget 2025 Events and Latest News Updates on The Economic Times.) Subscribe to The Economic Times Prime and read the ET ePaper online….moreless
(You can now subscribe to our Economic Times WhatsApp channel)Read More News onMjunction Services Ltdtea auctionVInaya Varmalogisticsquality checksTea Board of Indiaimported teastata steelsail(Catch all the Business News, Breaking News, Budget 2025 Events and Latest News Updates on The Economic Times.) Subscribe to The Economic Times Prime and read the ET ePaper online….moreless
Prime ExclusivesInvestment IdeasStock Report PlusePaperWealth Edition123View all Stories
