Tea
John Keells Tea Market Report:
Selective buying from Russia
Sri Lanka Tea Sale Averages for the month of April released by the
Tea Board indicate for the first time this year a marginal drop of Rs
0.59 per kg. compared with the corresponding month of 2010.
However, the to-date average to end April remains at a healthy Rs
389.22 per kg. which is Rs 8.03 per kg. above last year.
The negative variance for the month stems from the Low grown sector
which has recorded a drop of Rs 1.92 per kg whereas High and Medium
grown have recorded increases of Rs 2.36 per kg and Rs 0.66 per kg
respectively.
A feature of the drop has come exclusively from CTC Low Grown where
the negative variance for the month has once again recorded a Rs 52.79
per kg. It would appear that Low Grown CTC's in particular have faired
poorly in 2011 with the to-date deficit increasing to Rs 26.39 as at end
April. Ex-Estate market comprising 0.96 Mkgs. of teas met with lower
demand with prices declining Rs 10 to Rs 15 on average for most teas on
offer. There was selective buying from Russia, whilst the tea bag sector
lent fair support. UK, Japan and Continental buyers were very selective.
The smaller volume of 2.4 Mkg of Low Growns that were available at this
weeks auction on account of the restricted one day sale met with fair
demand, but at lower levels to last.
As mentioned, last week, the compounding issues arising from the
Middle East has effected the movement of teas and also buyers are
experiencing delays in their payments.
The Low Grown Average of Rs 365.66 of the May 10 sale is possibly the
lowest seen over a period of one year.
Western Teas
Select Best BOPs declined substantially following quality, other good
invoices shed Rs 10, Below Best sorts eased Rs 10 to Rs 15, plainer
varieties declined by a similar margin and more. Select Best BOPF
declined Rs 30 and more, other good invoices were Rs 10 to Rs 15 easier,
Below Best sorts which were Rs 5 easier at the commencement advanced as
the sale progressed, plainer varieties were firm to irregular. Medium
BOPs advanced Rs 10 to Rs 15. BOPFs were irregular.
Nuwara Eliya Teas
BOPs declined Rs 10 to Rs 15 and more. BOPF were firm to irregular.
Uva Teas
BOPs declined Rs 10, BOPF eased Rs 10 to Rs 15 on average. Uda
Pussellawa BOPs were firm to easier. BOPF declined Rs 10 to Rs 15 on
average.
CTC Teas
Select Best Low Grown PF1s were firm, others declined Rs 10. BP1s
were firm. High and Medium PF1s which were Rs 10 lower at the
commencement, advanced as the sale progressed. BP1s declined Rs 10 to Rs
15 on average.
Low Growns
Lower demand. Select Best OP1s were steady, however the Best and
Below Best types shed Rs 15 to Rs 20 and more following quality, poor
types too were lower by Rs 10 to Rs 15.
Select Best BOP1s were irregularly dearer by Rs 5 to Rs 10, however
the balance shed Rs 10 to Rs 15. Select Best OPs were firm on last
levels, Best and Below Best types declined Rs 5 to Rs 10, poor types
were lower by a similar margin. Select Best along with the Best OPAs
eased Rs 5 to Rs 10, Below Best and poor sorts too tended lower by Rs 10
to Rs 15. Select Best Pekoes shed Rs 15 to Rs 20, however the balance
appreciated Rs 10 on average. Select Best Pekoe1s shed Rs 5 to Rs 10,
the Best and Below Best types were fully firm, clean flaky varieties
gained Rs 5 to Rs 10, others were firm.
Select Best and Best BOP/ BOP.SPs declined Rs 10 to Rs 15, Below Best
and poorer sorts were lower by Rs 10 to Rs 20. Select Best and Best
FBOPs shed Rs 10 to Rs 20 and more at times, Below Best and Poor sorts
also were lower by Rs 10 to Rs 20. Select Best and Best FBOPF1s shed Rs
10 to Rs 15, Below Best and poor sorts eased by a similar margin and at
times more. Select Best and Best Tippy varieties declined to last. Below
Best and poor sorts too were lower by Rs 20 and more at times.
Off Grades
Select Best liquoring Fngs1s were lower by Rs 15 to Rs 20, whilst the
Below Best and poorer sorts depreciated Rs 20. Select Best and Best BMs
were lower by Rs 15 whilst the poorer sorts depreciated Rs 10. All BPs
were lower by Rs 15 and more at times. |