Home / Business and Economy / North Indian Shortfall Boosts South Tea Market
North Indian Shortfall Boosts South Tea Market
18 Nov
Summary
- Upcountry buyers and blenders increased demand for teas.
- Anticipated North Indian production drop drove buyers south.
- Coimbatore auctions saw higher sales and realization prices.
Active participation from blenders and upcountry buyers significantly boosted tea prices at the Coonoor auctions held last week. Traders noted that concerns over an impending production drop in North India compelled buyers to shift their focus to South Indian tea markets. This increased demand was evident in auction sale 46, which recorded a higher sales percentage.
South Indian teas, notably those from the Nilgiris region, attracted greater interest from upcountry buyers, including blenders and packers. This heightened demand resulted in improved average realization prices for these teas. Leaf grades constituted the majority of the offerings, with a strong sales percentage.
Specific grade variations were observed, with CTC leaf grades seeing price increases for better liquoring sorts and medium/plainer varieties, while primary whole leaf grades experienced a slight decrease. Orthodox dust grades, in particular, saw a notable price appreciation.
