Orthodox tea exports from Kochi gain steam on overseas demand

Orthodox tea shipments have started picking up from Kochi auctions, thanks to improved demand from overseas buyers.

This is evident from the 92 per cent of the sold quantity out of the of 2,02,632 kg on offer in sale 16 compared to 77 per cent in the previous week’s sale. According to traders, there has been an active participation of buyers, especially from CIS countries including that of Russia which started purchasing the brew good quantities on cash mode. Besides, active participation of buyers from Turkey, Iran and Iraq also boosted the market.

A tea exporter told BusinessLine that the year 2022-23 is likely to put Indian orthodox teas in advantageous position vis-à-vis competitors because of the declining production in Sri Lanka in view of the political and economic crisis there.

South Indian orthodox teas, especially from Coonoor and Coimbatore, also witnessed good sales percentage in the recent weeks, which is an indication of the demand spurt, he added.

The auctioneers Forbes, Ewart & Figgis said that average price realisation in orthodox grades was up by ₹2 at ₹143 per kg in the previous week. The market opened on a steady note and strengthened with improvement in prices as the sale progressed. Nilgiri whole leaf, brokens and Fannings appreciated following quality.

In CTC leaf, good liquoring teas were steady to firm. The quantity offered was 57,000 kg and 83 per cent was sold.

The average price realisation in dust sales also went up by ₹4 per kg at ₹138 due to improved demand from local buyers. The quantity offered was 9,64,874 kg and the market for good liquoring and popular marks of Kerala was firm to dearer. Upcountry buyers lent fair support.

The orthodox dust market was lower with small quantity absorbed by exporters. The quantity offered was 6,000 kg.

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