The rise in future offerings of tea has hit prices at Kochi auctions, especially for CTC dust grades this week.
The market for high-priced teas in sale 18 was lower by ₹3-5 a kg, while good liquorings was easier by ₹2-3. There was more than three lakh kg of unsold quantities out of the 10,77,018 kg offered in the auctions. Blenders together absorbed 68 per cent of the total quantity sold and the average price realisation remained at the same level at ₹135 recorded in the previous week.
Kerala loose tea traders and upcountry buyers was selective, while exporters operated at bottom of the market, covering nominal quantities. According to traders, the market is expecting good crop arrivals in the ensuing trading sessions which would help revive the trade.
Meanwhile, exporters to CIS and West Asia continue to be active in orthodox leaf with 84 per cent of the offered quantity of 2,38,844 kg was sold. The market for Nilgiri whole leaf and brokens was firm to occasionally dearer following quality.
This is evident from the average price realisation which was up by ₹7 at ₹156 in the previous week. Traders said that high-priced and quality teas were in good demand not only from Russia but from other European countries. Tunisian and Iraqi buyers were confined to lower quality teas, which were fully firm to dearer.
In CTC leaf, the market for high-priced teas was lower and the quantity offered was 47,000 kg. Medium and plainer varieties barely remained steady and tended to ease.