Good demand at 2019’s penultimate tea auction

Wednesday, 18 December 2019 03:06 - - {{hitsCtrl.values.hits}}

By Forbes and Walker Tea Brokers

The penultimate sale concluded on Tuesday had on offer 6.2 M/Kgs. Low Grown varieties met with good demand particularly as the sale progressed, whilst High and Medium Small Leaf teas witnessed less demand with only a handful of select invoices appreciating in value following special inquiry.

Ex-Estate offerings totalled approximately 1 M/Kgs. Overall quality of teas were barely maintained. Consequently, select invoices from estates producing a consistent product appreciated in value at times substantially following special inquiry. At the lower end of the market, clean leaf coloury BOPs saw some renewed interest and were often firm to dearer, whilst the corresponding BOPFs witnessed less demand and often an easier trend. Nuwara Eliyas experienced a disappointing sale in the backdrop of a majority of offerings being of average to plain in quality. Uvas - BOPs were substantially easier, whilst the BOPFs barely maintained last levels. High and Mid Grown CTC teas - BP1s substantially easier in the absence of the additional buying interest which was experienced over the past couple of weeks. Corresponding PF1s which maintained a reasonable all-round standard sold around last, whilst most teas declined Rs. 20-30 per kg. Low Grown varieties too followed a similar trend.

Mombasa auctions are beginning to record fairly significant increases in offerings and in this backdrop, it is important that the quality of offerings in Colombo are maintained at the highest possible level, which would help minimise unsold volumes.

Low Growns comprised of 2.54 M/kgs in the Leafy/Tippy catalogues this week. In the Leafy catalogue, OP1/BOP1’s maintained. Best and Below Best OP/OPA’s too were firm. PEK/PEK1’s tended irregular. In the Tippy catalogue, FBOP’s were firm to dearer. FF1’s tended irregular and at times lower. In the Premium catalogue, well-made Tippy teas appreciated substantially. Best and Below Best too attracted good demand. There was good demand from shippers to Turkey, Iraq, CIS, Dubai and Saudi Arabia.