Good demand from Russian market lifts prices of orthodox tea varieties

Orthodox teas witnessed strong demand at the Kochi auctions with the Russian market remaining buoyant.

Sale 17 witnessed strong demand with 94 per cent of the offered quantity of 1,76,319 kg being sold. According to traders, the surging sales have pushed up the average price realisation by Rs 6 per kg to Rs 149, from the previous week’s Rs 143.

Traders pointed out that buyers from Iraq and Turkey were also active, further perking up demand. Though there are firm enquiries for South Indian orthodox varieties from the European markets, it would take at least a month to translate into export orders. The Sri Lankan crisis has prompted European buyers to scout for Orthodox varieties and South Indian teas could be a major competitor in the global market because North Indian production has just started with the first flush, traders said.

The market for Nilgiri whole leaves and brokens was dearer by Rs 2 to Rs 5, and sometimes more, following quality. Medium whole leaf appreciated by Rs 5 to Rs 10. Exporters to the CIS and West Asia were also active in the trade, auctioneers Forbes, Ewart & Figgis said.

The CTC leaf market was firm with 87 per cent of the 44,000 kg offered being sold. Good liquoring brokens were firm to dearer.

However, dust sales could not sustain the price momentum, and average price realisation dropped by Rs 3 per kg to Rs 136. Traders attributed the decline to an increase in future offerings.

The CTC dust market was lower by Rs 2 to Rs 4, with the high-priced teas declining more . Local buying was selective, while Supplyco and packateers lent fair support.

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