5.4 MnKg under the hammer at tea auction this week

A total of 5.4 MnKg of tea came under the hammer at the Colombo Tea Auction this week, a decline of 1.2 MnKg from last week's offering.

The restricted volume was due to the Thai Pongal holiday period that was during the mid-January, Forbes & Walker Tea Brokers said.

The latest auction saw good demand for all categories, however, some degree of correction in prices were witnessed.  

Ex-Estate offerings totalled 0.83 M/Kg, down from the 0.96 MnKg on offer the previous week. Overall quality of teas on offer showed a decline, particularly noticeable in teas from the Western Planting districts.    

High and Mid Grown CTC teas continued to witness a bearish sentiment with teas at the lower end of the market declining by a greater margin.

Low Grown varieties too met with less demand and consequently whilst the better teas continued to appreciate on last week’s closing levels, the poorer sorts declined by Rs. 20-40 per kg.

In the Leafy and Semi-Leafy catalogues, Select Best BOP1/OP1’s were fully firm, whilst improved Below Best varieties gained. Others and poorer sorts were maintained.

In the Tippy catalogues, well-made FBOP/FF1’s were firm to marginally easier, whilst the cleaner Below Best and cleaner teas at the bottom sold around last levels. Balance were irregular following quality.

In the premium catalogues, Very Tippy teas continued to attract good demand. Best together with the cleaner Below Best were firm. Balance were irregular following quality.