For the fourth consecutive week, the sale volume at Coonoor Tea Trade Association auction has fallen. At Sale No: 42, teas worth Rs 6.61 crore remained unsold. This happened because there were no takers for 45 per cent on offer despite reducing price by Rs 5 a kg over previous week.
The volume sold fell to 10.18 lakh kg from previous week’s 10.92 lakh kg.
This was the lowest volume sold in the last one month.
The move to push up sale by reducing price resulted in average price falling to Rs 80.08 a kg from previous week’s Rs 85.01. This was the lowest price in 15 weeks.
This week’s turnover dropped to Rs 8.15 crore from the previous week’s Rs 9.28 crore, marking a 12.18 per cent decline. This was the lowest turnover in two months.
Prolonged market closure in West Bengal due to Durga Pooja and in Karnataka due to Dusserah celebrations limited off-take of Nilgiri tea this week.
Currently, transportation of tea to North India has been hit due to cyclone-impact in Odisha and Andhra Pradesh besides Telangana issue.
Besides, tea is available for cheaper rate in North Indian auctions.
Export to Islamic destinations including Pakistan and West Asia is low as the market reopened only on Monday after closure for Bakrid celebrations.
Homedale Estate, auctioned by Global Tea Brokers, topped CTC market when Mittal Tea Co bought it for Rs 178.
Crosshill and Vigneshwar got Rs 177 each and Shanthi Supreme Rs 171. In all, 62 marks got Rs 125 a kg.
Chamraj topped orthodox market at Rs 217 followed by Kodanad and Highfield Estate at Rs 203 each. In all, 50 marks got Rs 125.