Good general demand at 2012’s first auction

Friday, 6 January 2012 02:00 - - {{hitsCtrl.values.hits}}

The first sale of the year concluded on Tuesday and had on offer 7.2m/kgs. There was good general demand.

Ex-Estate offerings totalled 1.1 m/kgs. There was good demand and prices in most instances were firm to dearer.

The encouraging feature was the strong demand for BOPs, which appreciated Rs. 20-30 per kg and more for select best invoices. Consequently, the price parity between the BOP/BOPFs has narrowed quite considerably and in the case of the better Westerns, the BOPs are now selling substantially above the BOPFs.

Nuwara Eliya BOPs gained sharply, whilst the BOPFs lost out on value. The overall price structure for Uva/Udapussellawas showed no significant change, except for the poorer invoices, which were difficult of sale. CTC teas appreciated by Rs.1 5-20 per kg, whilst the liquoring leafy teas were irregular, following quality.

Shippers to the CIS participated actively on wide cross-section of the teas. There was fair demand from Japan and the Continent, whilst some selective buying was also evident possibly on account of Pakistan.

Off Grades and Dust too were dearer by Rs. 5-10 in most instances.

Low Growns comprised of approximately 3.5 m/kgs in the Leafy/Tippy catalogues. In the Tippy catalogue, a range of better FBOP/FF1s sold at fully firm to irregularly dearer rates. Others were lower, particularly following quality. Well-made Tippy invoices too were irregularly dearer. Others were generally easier.

In the Leafy catalogue, better OP/OPAs declined. Teas at the bottom end however met with better demand and were fully firm to dearer. PEKs too were easier. BOP1s were fully firm to dearer whilst OP1s were easier. There was fair demand from CIS, Dubai, Saudi Arabia, Turkey and Iraq together with Kuwait.