It was another uneventful week at the auctions. Sale 21 saw good demand for orthodox tea in Kolkata with Middle East lending good support. Darjeeling saw some movement but prices averaged Rs 350, the lowest in a month. Incidentally, the same sale in 2021 saw the average price at Rs 560. CTC Leaf and Dust also saw reduced prices. In Guwahati while prices remained somewhat similar to last year only 52% of tea on offer was sold this week.

In the south, Coonoor continued to see strong demand for orthodox leaf, especially among exporters. Prices for Whole Leaf and Brokens were higher than the corresponding week last year. Cochin too saw good demand for orthodox tea, especially those resembling Sri Lankan varieties. CTC Leaf also did well and all the Orthodox Dust on offer was sold. Orthodox Dust saw good uptake at Coonoor as well. 109 kilos of green tea on offer in Coonoor sold for Rs 300 a kilo. 

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 Tea Price charts, courtesy TSigma Consultancy

North & South India Sale 21

*New audio uploaded 5-25-2022

PHOTO CAPTION | CREDIT: Photo by Aravinda Anantharaman

In Sri Lanka, auctions were cancelled last week even as the economic crisis continues. This could boost the Indian orthodox market. Some of this impact was already visible in Sale 19.

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Tea Prices

Auctions were held across all centres. The Middle East was the biggest buyer at Kolkata auctions, picking up 48% of the orthodox leaf on offer. Only 53% of Darjeeling on offer was sold, mostly by local buyers. Average prices in Kolkata were down this week for all teas. In south India, Cochin saw an active market for both Dust and Leaf tea. Exporters to CIS and Middle East were active for orthodox leaf while CTC leaf saw good uptake from domestic buyers. South India saw 87% of orthodox leaf on offer sold.

 Tea Price charts, courtesy TSigma Consultancy

*New audio uploaded4-4-2022

PHOTO CAPTION | CREDIT: Photo by Aravinda Anantharaman

International Tea Day saw several events across the country. The three key focus areas for India remain 1, structural changes needed in the supply chain at the production end; 2, a strong marketing and promotional campaign to increase per capita consumption; and 3, focus on improved quality which could reduce volume, fetch better prices, and support the stakeholders along the supply chain. As part of the promotional events, there is a special sale planned for tea produced from leaves plucked on Tea Day shortly. 

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Tea Prices

In markets, prices continue to remain low. Where south India expected to garner the orthodox market that sought Sri Lankan teas, it hasn’t gone as well as expected so far. Cochin auctions however did show good demand for orthodox leaf and exporters to the Middle East and CIS were active. 100% of Orthodox Dust on offer was also absorbed. In Coonoor, major blenders were active for CTC Leaf. In the north, Kolkata saw good demand for orthodox leaf although average prices were lower than the previous week. Darjeeling continues to see reduced demand and reduced prices at the auction.

 Tea Price charts, courtesy TSigma Consultancy

North India Sale 20

South India Sale 20

*New audio uploaded 5-25-2022

PHOTO CAPTION | CREDIT: Photo by Aravinda Anantharaman

After a heatwave, the country is experiencing rain and thunderstorm. Cyclone Asani which began over the south Andaman sea has been moving northwestward and turned into a severe cyclonic storm. Several parts of India, including Kolkata on the east and the southern coast, and also interior south India have received rain and thunderstorms of varying intensity. 

In a historical move, Assam’s tea gardens will see the opening of 97 high schools this week. So far, tea gardens have offered primary school education to children of tea workers. But this has meant that once they finish primary school, they either have to travel far to attend further schooling, which has led to increased dropouts. The current plan to introduce high schools was proposed in 2017-18 with a plan for 200 schools, of which 119 were to be high schools. The schools are expected to offer breakfast and mid-day meals to students. 

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Tea Prices

All auction centers were operational. In north India, Orthodox Leaf and Dust saw good uptake, in a continuing trend from the previous week. This trend was also seen in the south. Coimbatore saw 100% of orthodox leaf on offer sold while Coonoor sold 100% of Orthodox Dust. Hindustan Unilever in the north and AV Thomas in the south were top buyers. Only half the Darjeeling tea on offer was sold. The demand was for organic whole leaf grades.
A comparison with Sale 18 for 2021 indicates a lower volume of CTC Leaf and Dust in both North and South India this year.

 Tea Price charts, courtesy TSigma Consultancy

*New audio uploaded4-4-2022

PHOTO CAPTION | CREDIT: Photo by Ian Wagg on Unsplash
Ooty Tea Garden at Doddabetta Peak, Tamil Nadu, India

While much of India struggles with a heatwave, many of the tea regions, including Darjeeling, Assam, Meghalaya, Kerala, and Tamil Nadu, continue to see widespread rain with thunderstorms in some parts. 

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Tea Prices

All auction centers were open for Sale 17. In Kolkata, exporters were active for Darjeeling tea although prices dropped since last week and there were more out lots in comparison. Orthodox leaf saw good demand with the Middle East active. Guwahati saw fair demand although the major packeteers were subdued. Prices also dropped. This trend was seen in Siliguri also, with lower prices and nearly half the volume of tea unsold. 

In the south, Coonoor saw 55% of CTC on offer sold although there was good demand for orthodox leaf (97% sold) and CTC dust. Cochin also did well for Orthodox tea with 94% leaf on offer sold. Exporters were active and good participation seen from CIS countries. Hindustan Unilever was also active for orthodox leaf.

 Tea Price charts, courtesy TSigma Consultancy

South India Sale 17 vs Sale 16

North India Sale 17 vs Sale 16

*New audio uploaded May 3

PHOTO CAPTION | CREDIT: Photo by Vaisakh Satheesan on Unsplash