Tea market comment

February 13,2008

3.8 Mnkg of Low Growns were on offer at this week’s auction, out of which 1.7 Mnkg were Large Leaf and 2.8 Mnkg were Small Leaf. In the Large catalogues market continued to ease for OP1, OP and OPA varieties, however at the lower end teas continued strong.

The biggest drop was noted for the Select best OP1s, where prices eased Rs. 50 to Rs. 60 per kg. Better OP/OPAs too lost sharply with most teas remaining unsold. BOP1s generally held around last.

The feature of the sale was the increased demand witnessed for Pekoe varieties of tea. Select best were dearer Rs. 5 to Rs. 10 and more in value. All others too generally sold at higher levels of price. In the Small leaf catalogues select best FBOPs sold at last levels.

Best available brighter liquoring FBOPF1s sold at Rs. 5 to Rs. 10 dearer rates. Below best types lost up to Rs. 5 Poorest continued to hold. FBOPFs continued their poor run and declined in value with most teas being difficult of sale.

There were good general demand in the Ex-Estate catalogues. Best Liquording Western BOP/BOPFs were fully firm to dearer. Below best BOPs and plainer BOPFs were Rs. 5 lower.

Nuwara Eliya BOP/BOPFs were often Rs. 10 and more. Well made better liquoring Uva/Udapussellawa’s were fully firm, but some of the poor leaf sorts shed Rs. 5. There was good general demand for brighter liquoring CTC PF1, which often moved up in value. BP1s were firm.

Courtesy: Asia Siyaka Commodities (Pvt) Ltd.