The Hindu Business Line : 4-week low volume at Coonoor tea auctions

Coonoor April 18 A volume of 7.46 lakh kg has been catalogued for Sale No: 15 of the auctions of Coonoor Tea Trade Association (CTTA) to take place here on Thursday and Friday.

This is a four-week low volume. It is some 90,000 kg lower than the offer of last week. It is some 1.12 lakh kg lower than the offer in the corresponding sale of last year.

Of the 7.46 lakh kg on offer now, as much as 5.49 lakh kg belong to the leaf grades and 1.97 lakh kg, dust grades. Again, as much as 6.73 lakh kg belong to CTC variety and only 0.73 lakh kg, orthodox variety.

Orthodox

The proportion of orthodox variety is low in both the leaf and dust categories. In the leaf category, only 0.39 lakh kg belong to orthodox while 5.10 lakh kg, CTC variety. In the dust category, only 0.34 lakh kg belong to orthodox variety while 1.63 lakh kg, CTC variety.

Given the low volume, prices can pick up if the demand stands firm. "For the past few weeks, prices had been dropping around Rs 2 a kg every week with around 43 per cent of the offer remaining unsold for want of adequate bids. Last week, some export enquiry was visible", an auctioneer told Business Line.

Producers are worried that even for the brighter liquoring teas, the demand had been only at the lower end of the range. Defence buyer picks up only the select grades at the bottom end of the market.