Lower offerings due to crop shortage coupled with rising demand from blenders ahead of Onam lifted tea prices of all grades at Kochi auctions this week.
According to traders, CTC dust and orthodox leaf prices were up in sale 34, thanks to increased upcountry buying and rising export orders. Inclement weather in the high ranges continues to hit tea production, impacting tea arrivals to the auction platform.
Blenders buy 58%
The auctioneers Forbes, Ewart & Figgis said all blenders together absorbed 58 per cent of the offered quantity of 5,44,712 kg CTC dust, witnessing a sales percentage of 98. The market was higher by ₹5 to ₹7 and more as the sale progressed. Lower medium and plainer teas witness strong feature and appreciated by ₹10 and more. The average price realisation was up by ₹6 at ₹157 compared to ₹151 in the previous week.
Orthodox dust market was dearer by ₹2 to ₹3, witnessing some withdrawals. The quantity offered was 7,000 kg with upcountry buyers and exporters absorbing small quantity offered.
Getting export orders
Orthodox leaf market was strong with whole leaf and medium whole leaf appreciated by longer margins of ₹5 to ₹10. The quantity offered was 1,99,169 kg with a sales percentage of 98. Medium brokens witnessed strong feature and were dearer by ₹5 to ₹10. Secondary brokens were also dearer.
Traders said the market started receiving export orders with buying from Iran, Iraq. Upcountry exporters were active along with buyers from CIS and Middle East countries.
CTC leaf market was also strong with a sales percentage of 99 out of the offered quantity of 32,500 kg. Brokens and Fannings were higher by ₹5 to ₹10. Plainer teas also witnessed strong feature and gained more.