John Keells Tea Market Report:
Good demand for Low Growns
Most of the tea growing areas in the Western sector recorded very
heavy rains over the weekend, with the Eastern slopes too experiencing
sporadic showers and overcast conditions.
If these rains persist, crop levels in the Western sector will drop
further, and seasonal teas from the Uva sector will inevitably be
delayed, until such time the rains finally ease off.
Sri Lanka tea production for June 2010 has yet again recorded a
healthy gain of 5.8 mkgs compared to the corresponding period of 2009.
Once again it has been the Low growns that have contributed the major
share with a gain of around 2.9 mkgs.
If this trend continues, we are likely to match upto to the all time
record crop achieved in 2008 and possibly exceed by the year end.
As at end June 2010, the total Sri Lankan production amounted to
166.8 mkgs as against 132.2 mkgs during the corresponding period of
2009, showing an increase of 36.3 mkgs or 27.8 percent.
There was fair demand for the 1.1 mkgs of Ex estate teas on offer.
The best Western High Grown BOPs were firm to irregularly lower, whilst
BOPFs appreciated Rs 10 to Rs.15 on average.
The Below Best BOP/BOPFs were mostly firm and at times Rs 5 to Rs 10
easier. Plainer teas tended lower.
Nuwara Eliya BOPs barely maintained, whilst BOPFs appreciated as much
as Rs 20 to Rs 25. A few improved BOP/BOPFs from the Eastern sector
appreciated by Rs.10 to Rs.20, whilst some semi leafy invoices
A few High and Medium CTC PF1s sold well, gaining Rs 10 to Rs 15
whilst others mostly declined by a similar margin. Best Low Grown PF1s
maintained, others showed an improvement.
The 3.6 mkg of Low Growns that were on offer this week, met with
excellent demand. In the Leafy category, the best BOP1/OP1s advanced in
value, whilst the below best were mainly firm, however some poor
invoices declined several rupees.
Pekoes overall sold around last levels with the exception of the bold
varieties where prices appreciated up to Rs 10 per kg. OP/OPAs too met
with a firm market.
In the Small leaf category, FBOP/FF1s advanced in value, whilst the
Tippy varieties too sold around last levels.
All In all it was another satisfactory sale.
Russia, Iran and Iraq were quite active, whilst Syria, Dubai, Jordon,
Saudi Arabia and other Middle Eastern markets also lent useful support.
Select Best BOPs declined Rs 5 to Rs 10, other good invoices were
firm to easier, Below Best sorts declined Rs 10 to Rs 15, plainer
varieties shed Rs 10 on average.
Select Best BOPFs advanced Rs 5 to Rs 10 and more at times, other
good invoices were firm to Rs 5 dearer, Below Best sorts shed Rs 5 to Rs
10 on average, plainer varieties declined Rs 5 to Rs 10. Select Best
Medium BOPs advanced Rs 10 to Rs 15, others were irregularly lower.
BOPFs gained Rs 10 on average.
Nuwara Eliya Teas
BOPs shed Rs 10 to Rs 15, whilst the BOPFs advanced Rs 15 to Rs 20
and more as the sale progressed.
Better BOPs on offer gained Rs 5 to Rs 10, others were irregularly
lower. BOPFs were firm. Udapussellawa BOPs declined Rs 5 to Rs 10. BOPF
were firm to easier.
Select Best Low grown PF1s were firm, others gained Rs 15 to Rs 20
and more. BP1s were firm to dearer. A few High & Medium PF1s sold well
on special inquiry, others declined Rs 10 to Rs 15 on average. BP1s were
Rs 5 to Rs 10 lower.
Fair demand. Select Best OP1s were firm to Rs 5 to Rs 10 dearer, Best
types maintained last levels, however the Below Best and poor sorts
declined Rs 5 to Rs 10 following quality. Select Best BOP1s were
irregularly lower by Rs 5 to Rs 10, Best types along with the Below Best
types were firm, poor sorts were irregularly lower by Rs 5 to Rs.10.
Select Best OPs were steady, the balance too were firm on last levels,
poor stalky varieties tended low by Rs 5 to Rs 10. Select Best OPAs shed
Rs 10 to Rs 15, Best types too were barely steady, Below Best sorts were
fully firm, however the stalky types shed Rs 5 to Rs 10 and more at
Select Best Pekoes were firm to Rs 5 to Rs 10 dearer, the Best and
Below Best types maintained last levels, however the flaky varieties
tended low by Rs 5 to Rs 10. Shotty Pekoe1s eased Rs 5 to Rs 10, Best
types were firm to Rs 5 to Rs 10 dearer at times, Below Best and poor
sorts were steady.
Select Best and Best BOPs maintained last levels, Below Best types
moved up Rs 5 to Rs 10, poor varieties maintained last levels. There was
improved demand for small leaf grades.
Select Best BOP.SP maintained last levels, Best types moved up Rs 5
to Rs 10, Below Best and poor sorts were firm. Select Best FBOPs met
with strong demand and advanced Rs 20, Best types moved Rs 10 to Rs 15
and at times more, Below Best and poorer sorts gained Rs 5 to Rs 10 and
at times more as the sale progressed. Select Best FBOPF1 were firm, Best
and Below Best types advanced Rs 10, the poorer types moved by Rs 5 to
Rs 10. Select Best tippy varieties met with improved demand and advanced
above last levels, Best types too advanced a few rupees on last, Below
Best types were irregular, poorer sorts were irregularly lower.
Select Best liquoring FNGS1s appreciated Rs 5 to Rs 10, whilst Below
Best and others were dearer by an average of Rs 10. Select Best and Best
BMs appreciated Rs 10, whilst the poorer sorts were firm to lower by Rs
10. All BPs sold at firm levels.
All Low grown FNGS were lower by Rs 10. Select Best BOP1As were firm
to dearer by Rs 10 , whilst the Best were firm on last levels, Below
Best and poorer sorts , however shed Rs 5 to Rs 10 and more at times.
Select Best Dust1s were firm, whilst the improved Dust1s in the Best
category gained Rs 10 to Rs 15,the Below Best types and the poor sorts
declined Rs 10 to Rs 15. Clean secondaries were firm, whilst the Below
Best types gained Rs 3 to Rs 5, poorer sorts too maintained last levels.
Best Low Grown Dust/Dust1s were firm, whilst the Below Best types
advanced Rs 5 to Rs 10, poorer sorts declined Rs 5 to Rs 10.