This week's total offerings of 5.7 million Kgs met with less demand and often a declining trend in prices. Lower quality combined with less activity from shippers to Iran and a cautious approach by buyers on account of the volatility in the currency resulted in a bearish market sentiment.
Ex-Estate offerings totalled 0.9 million Kgs, up from the 0.80 million Kgs on offer the previous week. Overall quality of teas showed a decline and consequently, a greater availability at the lower end of the market.
The limited availability of Best Western BOP/BOPF's witnessed a firm and Rs. 50 per kg easier trend in prices. In the Below Best category, BOP/BOPF's encountered a similar weakening in prices by Rs. 50 per kg and more for tea in the higher price bracket. Others together with teas at the lower end of the market - BOP's were barely steady, whilst the corresponding BOPF's declined by Rs. 20 per kg and more as the sale progressed. As highlighted in the previous week's report as well, the price parity between the Below Best and Plainer categories have narrowed quite considerably perhaps largely following the decline in quality. Nuwara Eliya BOP's sold relatively well, whilst the corresponding BOPF's were often unsold due to a lack of suitable bids. Uva/Uda Pussellawas' - Better BOP's gained by Rs. 50 per kg, whilst the others were barely steady. Corresponding BOPF's too followed a similar trend, with the clean leaf teas selling around last week's levels and the fibery types declining by Rs. 20 per kg and more.
High & Medium Grown CTC teas too followed a lower trend for the PF1 grade which eased by Rs. 20-40 per kg and more, and here again often following quality. Low Grown types were generally firm.
Low Growns comprised of 2.4 million Kgs. All categories met with fair demand although teas in the Semi-Leafy and Tippy catalogues witnessed a declining trend in prices.
In the Leafy and Semi-Leafy catalogues, well-made BOP1's were firm, whilst the balance declined substantially. High-priced OP1's were firm, whilst the Best and Below Best varieties were easier. Teas at the bottom maintained. Well-made OP/OPA's were firm, whilst the balance were easier. High-priced PEK's were firm to selectively dearer, whilst the Best and Below Best varieties declined sharply. Teas at the bottom were firm to easier. PEK1's, in general, were lower.
Select Best FBOP's were firm to easier, whilst the balance in general declined. However, the bolder varieties declined substantially. FBOP1's too, in general, were easier.
In the Premium catalogue, high-priced Tippy teas were firm to easier, whilst the Best together with cleaner Below Best and cleaner teas at the bottom were firm. The balance were easier following quality. A few select Best FF1's sold around last levels, whilst the balance in general were easier.
TEA AUCTION DETAILS
AUCTION NO. | 44 | 43 | ||
Dates | 05th / 06th Nov 2024 | 29th / 30th Oct 2024 | ||
No. of Lots | No. of Kgs | No. of Lots | No. of Kgs | |
Ex Estate | 860 | 845,899 | 857 | 837,193 |
High & Medium | 1,580 | 692,571 | 1,630 | 715,489 |
Leafy | 1,950 | 725,974 | 1,853 | 705,463 |
Semi Leafy | 1,743 | 763,018 | 1,749 | 767,310 |
Tippy | 2,203 | 1,070,064 | 2,195 | 1,071,970 |
Premium/Flowery | 321 | 46,161 | 396 | 57,864 |
Off Grades | 2,616 | 1,369,250 | 2,349 | 1,279,975 |
Dust | 629 | 567,032 | 579 | 507,214 |
Grand Total | 11,902 | 6,079,969 | 11,608 | 5,942,478 |
(Source- Forbes & Walker Tea Brokers)