Determinants of Saving and Investment Behaviour of Tea Plantation Workers: An Empirical Analysis of Four Tea Gardens of Udalguri District (Assam)

Abstract

The main objective of this paper is to examine the main determinants of saving and investment behaviour of tea plantation workers in Assam based on a microeconomic approach. Four tea gardens have been selected for the purpose of data collection. These gardens are Bhooteachang Tea Estate, Hattigor Tea Estate, Brotherhood Tea Growing firm and Jwnglari Tea Farm. Two separate multiple linear regression models were fitted for saving and investment. The paper found that there is propensity to save and invest among the tea planation workers in spite of low income. The workers in the sample save their income mainly in SBI, LIC, and other banks and invest in children’s education and other income generating activities like rearing livestock, buying cultivated land, etc. Further, it is found that income level, education status, occupation have positive influence on saving, while the number of dependents exerts a negative influence on saving. The factors that drive household investment are occupation, income and assets.