The first blow came with the LPG shortage amid the West Asia crisis and now a milk price hike. When Amul raised the price of milk last week followed by other milk marketing companies, the tea vendors were a worried lot. A cup of ‘cutting chai’ — about 100 millilitres of the steaming brew sold on every street corner in Ahmedabad city — costs anywhere between Rs 10 to Rs 30. While the Gujarat Cooperative Milk Marketing Federation, which owns Amul, raised all milk prices by Rs 2 per litre, the price of the T special milk, meant for tea, saw a Rs 3 hike for a one-litre pouch.
Mohanbhai, who runs a makeshift tea stall on a sidewalk in Ramdevnagar, a largely residential area, for almost 15 years, said he cannot increase the price of his tea, with the price hike effected by popular milk brands. This, he believes, would drive the customers away. The business has already been slow, he reasoned.
“I use about 15 litres of milk in a month, and that monthly cost has gone up by 35-40 rupees. I sell a cup for 10 rupees, so I can’t afford it,” he said. “I can’t use any alternatives either, whether it’s watering down the tea or reducing the size of the glasses; my customers will know if anything has been changed,” he added.
In Nehrunagar, an area lined with shops, offices and educational institutions, the Iyer Tea Stall is crowded throughout the day. It has its own set of loyal customers as well as a decent footfall of passers-by.
Kanchi Mehta, a student, said, “My friends and I come here often, and we see all sorts of people frequenting the stall. They have increased their prices recently, not just for the tea but the muska bun as well.” The tea is now costlier by 5 rupees. The owner, Vishwa Lakshmanan, said it was not only the milk that caused them to hike their prices but also the gas (LPG).
An employee at the New Radhe Tea Stall in Prahladnagar, an upscale residential and commercial hub, had something similar to say. “We use around 5-7 litres of milk in a day. Now the prices have gone up and obviously it has affected us, but we can’t do anything about it. Our cup of tea is still priced at 10 rupees, and increasing the price will drive away our customers.” He said they’ve already had fewer customers due to the summer heat and increasing prices is a risk they cannot take now.
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Pujan Patel, a business owner and a regular tea consumer, says “Apart from the milk, the increase in gas prices has also affected their (tea vendors’) businesses.” “I think an increase of 2-3 rupees is fine. They have to cover their losses too.”
On Corporate Road in Makarba, a business corridor lined with call centres and offices, another popular tea stall sells a cutting chai cup for Rs 12. The tea price hike is more likely to affect people from modest socio-economic backgrounds as compared to office-goers or even students. “As a student, I obviously wouldn’t want my cutting chai to cost 12-15 rupees but I’m willing to pay that cost. However, this is a big change for some, and it might drastically affect their tea consumption,” said Anika Agarwal, a medical student.
“I have definitely noticed cups getting smaller and the prices getting higher recently, but one needs his daily cup of chai,” said Dhairya, a student. “Even with the prices increasing, I don’t think the tea culture in Ahmedabad will be affected as such. The people here are addicted to tea,” he added.
An employee at the Tea Post outlet on Vijay Char Rasta, a busy intersection near the city’s university area, said that they are definitely facing a loss, considering they use about 60 litres of milk every day. “We have not received any notice about increasing our prices from the head office, but if we do, the prices will be increased for all outlets in the city.”
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Tea consumption across the city remains undisturbed, at least for now.
(Manushi Patel is an intern at The Indian Express, Ahmedabad)
