Strong demand for better teas

Friday, 15 October 2010 21:32 - - {{hitsCtrl.values.hits}}

This week’s Colombo tea auction offered 6.5 million kgs of tea for sale out of which, 3.4 million kgs were in the main low grown category and 0.8 million kgs in the high and mid grown ex-estate teas. The trend of increasing demand for better teas continued this week as well with the Colombo tea auction calling good prices for better products, Asia Siyaka said.

In the Large Leaf catalogues there was wide spread demand, but most grades sold at firm to dearer rates. Better OP1 / BOP1 varieties continued to attract long prices while better OP/OPAs were fully firm to Rs. 10 dearer.

Teas where leaf appearance was not maintained however tended easier. However statistics shows that there was better demand for bold Pekoe varieties and prices gained up to Rs. 10. Select best Pekoe1s too were well sought after and were selectively dearer. Nevertheless the overall figure showed less demand for the bottom end of the market where most grades were discounted following quality.

Small Leaf varieties also met with better demand this week; with selected best FBOP1s appreciating in value, but others were mostly irregular/ low prices. FBOPF1 types recorded higher prices all-round. Tippy teas recorded much higher prices this week with BOP/BOPF varieties sold around last levels.

In the Ex-Estate catalogues there was a good general demand seen once again. Better Western BOPs attracted more demand and moved up Rs. 20 to Rs. 30 on last week’s high levels. Others were dearer Rs. 10 to Rs.15. The market for better BOPF continued at last week’s high closing rates and was Rs. 20 on average dearer.

Best liquoring teas however were irregular following quality. Better Nuwara Eliya BOP/BOPF moved up Rs. 10. Here again some of the high priced sorts of last week shed Rs. 10 and more following quality. Better Udapussellawa BOPs gained Rs. 20. Others moved up Rs. 10 to Rs. 15. BOPF were dearer Rs. 15 to Rs. 20 all-round. Best Uva BOPs moved up Rs. 30. Others gained Rs. 10 to Rs. 20. Better liquoring BOPF were dearer Rs. 20. Others gained Rs. 10. High priced CTC PF1s continued to lose ground. Liquoring sorts moved up Rs. 20. Others gained Rs. 10. BP1s were generally lower Rs. 10 to Rs. 15. Select stylish Medium BOPs were fully firm. Liquoring teas were dearer Rs. 20 following the general trend. BOPFs gained Rs. 20 to Rs. 25.

“The industry expects heavy rains eased towards the weekend with the crop intakes from most producing district recording a slight increase,” Asia Siyaka added.