Low arrivals and a strong export demand lifted orthodox leaf prices at Kochi auctions, registering a ₹5 per kg increase in the average price realisation.
The market witnessed strong demand in sale 11, with 99 per cent of the offered quantity of 2,09,223 kg sold. Traders said the buoyancy in the market was because of the pending orders to be executed before the fiscal year end of March 31. There are firm orders from many African countries and Iraq, which will continue for some more time.
Lower crop in many production centres in the absence of summer showers is the reason for lower arrivals to the auction centre.
CIS demand subdued
The auctioneers Forbes, Ewart & Figgis said the market for Nilgiri broken witnessed strong features and appreciated by a margin of ₹5-10 and sometimes more. The secondary broken and the whole leaf segments were also strong, fetching a much higher price compared to last week. The demand from CIS countries was subdued, while West Asia and upcountry buyers were active in the market.
CTC leaf market was lower by ₹1-2, with only 79 per cent of the offered quantity of 40,500 kg sold.
In dust, the CTC market was lower by ₹1-3 amid lower arrivals at 7,74,335 kg. The sold quantity was only 81 per cent and there was a Rs1 per kg drop in average price realisation at ₹144. Blenders were selective, while the loose tea segment was subdued. In orthodox dust, the market was dearer with 100 per cent sale in the offered quantity of 1500 kg. Very small quantities absorbed by exporters.