The Hindu Business Line : 7-week low volume at Coonoor tea auctions

Coonoor, Aug 2 The arrivals for auctions of the Coonoor Tea Trade Association (CTTA) continue to be low, with the volume catalogued for Sale No.31 this week being the lowest of the last seven weeks.

The catalogues of the seven brokers authorised to auction the teas total 10.75 lakh kg – as much as 1.3 lakh kg lower than the volume of last week.

Of the 10.75 lakh kg, as much as 7.67 lakh kg belong to the leaf grades and only 3.08 lakh kg to dust grades.

Again, as much as 9.92 lakh kg belong to the CTC variety and only 0.83 lakh kg to orthodox variety.

The proportion of orthodox is low in respect of both the leaf and dust grades.

In the leaf grades, only 0.36 lakh kg belong to the orthodox while as much as 7.31 lakh kg belong to the CTC variety.

In the dust grades, only 0.47 lakh kg belong to orthodox while 2.61 lakh kg belong to the CTC variety.

The low volume can help the prices to look up if the demand firms up.

Last week, prices dropped on an average Rs 3 a kg and the bottom level hit a new low of Rs 32 a kg as the demand was confined only to quality invoices.

As much 40 per cent of the offer went unsold.

Promising 2nd flush

Buyers said that they were not into panic buying despite low offer because of promising second flush crop in the North and low demand arising from the floods of Bihar, UP and other north Indian States.

Export purchases are also subdued.

Last week, among the CTC teas from bought-leaf sector, Darmona Estate topped with Rs 100 a kg.