COLOMBO TEA AUCTION 05/08/2015

C O M M E N T S 

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Auction quantities declined to 6.9M/Kgs this week. Low Growns met with fair demand whilst High Grown small leaf teas met with reasonably good demand.

Ex Estate offerings totalled 1.1M/Kgs. Overall quality of offerings from the Western planting districts were barely maintained whilst a few select Uva's showed some seasonal improvement. Western BOP's on average appreciated Rs. 10/- per kg, whilst the corresponding BOPF's gained Rs. 10-20/- per kg. Nuwara Eliya select improved teas gained Rs. 20/- per kg and more, whilst others were irregular following quality. Udapussellawa BOP's were irregular and often difficult of sale, whilst the corresponding BOPF's were firm and upto Rs. 10/- per kg dearer for clean leaf teas. Poorer sorts were difficult of sale. Uva's - select improved seasonal teas were substantially dearer, whilst other clean leaf coloury sorts gained Rs. 10/- per kg; here again, poorer sorts were difficult of sale. High and Medium Grown CTC BP1's were firm and upto Rs. 10/- per kg lower, whilst the corresponding PF1's were firm and upto Rs. 10/- per kg dearer. Low Grown CTC's were often Rs. 10-20/- per kg lower. Liquoring leafy teas continued to meet with selective demand and prices for these teas ranged between Rs. 400/- and Rs. 700/- per kg.

Shippers to UK and the Continent bid selectively following quality, whilst there was improved interest from Shippers to CIS on a fair cross section of teas. 

Low Growns comprised of 3.4M/kgs in the Leafy/Tippy catalogues. There was fair demand at slightly lower levels. In the Leafy catalogues a few select best BOP1/OP1’s together with a limited selection of clean below best teas maintained. Others were mostly lower to last. OP/OPA’s too were lower Rs.5-10/- per kg with the exception of a few clean leaf tea at the lower end which held firm. Select best PEK/PEK1’s maintained whilst others were barely steady. In the Tippy catalogues too select best FBOP/FF1’s together with a range clean below best maintained. Others were mostly lower to last. Well made Tippy invoices too sold around last levels. Here again others were mostly irregular and lower. Shippers to CIS, Turkey, Dubai, Iraq Saudi Arabia and Kuwait were active this week.

 Sri Lanka Tea Production – June 2015

Tea production for the month of June 2015 totalled 28.9M/kgs vis-à-vis 30.9M/kgs of June 2014 showing a decrease of 2M/kgs. All three elevations have shown a decrease in production when compared to June 2014 with Low Growns showing the biggest deficit of 1.4M/kgs.

January – June cumulative production too of 172.6M/kgs show a decrease of 1M/kgs vis-à-vis 173.6M/kgs of January – June 2014. Medium Growns have recorded a marginal gain YOY whilst High Growns and Low Growns show a decrease during the period under review.

When analyzing the CTC production, June 2015 totalled 1.4M/kgs showing a decrease of 0.3M/kgs vis-à-vis 1.7M/kgs of June 2014. Low Growns show a gain YOY in production whilst High and Medium Growns show a decrease vis-à-vis June 2015. January – June 2015 cumulative  figure too of 9.8M/kgs show  a marginal decrease of 0.6M/kgs vis-à-vis 10.4M/kgs of January – June 2014. Here again Low Growns have shown a gain YOY whilst High and Medium Growns show a decrease.

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