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July tea crop slumps to 15-year low

Comments / {{hitsCtrl.values.hits}} Views / Thursday, 1 September 2016 00:00

A mix of continuing bad weather and disruption to agricultural practices has restricted Sri Lanka’s July 2016 tea production to 21.3 Mnkg; 19% lower than the last year’s figure of 26.3 Mnkg. 

According to Asia Siyaka Commodities Plc this year’s July crop figure is at a 15-year low and is only higher to 19.4 Mnkg recorded in 2001. 

Whilst all there elevations recorded crop losses YoY 2015. Worst hit was the Low Grown sector which was down 22% YoY 2015 to13.6 Mnkg. This is the lowest since 2006. Mid Growns at 3.2 Mnkg are 15% lower than the last year’s quantity of 3.8Mnkg and is the lowest since 2004. Similarly High Growns declined 13% to 4.4 Mnkg from 5.1 Mnkg a year ago.

Tea production for the seven-month period January-July 2016 is 175.3 Mnkg, sharply down a massive (-12%) on last year’s quantity of 199.3 Mnkg. Here again the Low Country has declined the most of all elevations and is down 11% YoY 2015; with the January-July Low Grown production figure of 107.1 Mnkg; 12.7 Mnkg lower than last year’s quantity of 119.8 Mnkg.  

Mediums have declined from 32 Mnkg to 27.4 Mnkg this year (-14%) whilst High Growns are down 13% (-6.5 Mnkg) to 40.8 Mnkg in 2016 from 47.3 a year ago.

August too had mixed weather and it is unlikely that Sri Lanka will achieve the 2015 crop of 26.4 Mnkg. The cumulative loss for the eight months ending August could reach a high 30 Mnkg.

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