Agri Business

Buoyancy in orthodox tea market predicted

P. S. Sundar Coonoor | Updated on July 28, 2011 Published on July 28, 2011

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With the availability of orthodox teas facing pressure, prices are predicted to rule firm helped by consistent demand in the country's different auction centres.

“Offerings for the next three auctions at Kolkata are likely to decline. We anticipate the volume to come down by 2.5 lakh kg in each auction. In the coming weeks, the availability of quality orthodox teas in the global market is also feared to be low because of adverse weather.

“This will improve the demand and increase the price. We also expect the resumption of rupee trade with West Asian countries to activate demand. In particular, well-made tippy teas will continue to enjoy good market,” Mr Subodh Paul, Director, Contemporary Brokers Pvt Ltd, told Business Line.

This week, the CIS, West Asia, the UK, Germany and Japan bought orthodox teas from North India. Only the CIS and some West Asian buyers supported these teas in South Indian markets.

This week, well-made best quality North Indian teas fetched an average price of Rs 180-250 a kg while their South Indian counterparts, Rs 90-100. The low-end fannings got Rs 95-105 in North Indian auctions and Rs 50-60 in South Indian auctions. The average price for good grades was Rs 160-180 in North Indian auctions, and Rs 80-90 in South Indian auctions.

Published on July 28, 2011
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