Sri Lanka’s National Sales Average for tea peaks in September.
Daily FT: The National Tea Sales average for September 2022 recorded Rs. 1,599.49 ($ 4.46), thus establishing the highest ever recorded average for a calendar month surpassing the previous best of Rs. 1,508.21 ($ 4.21) recorded in the month of August 2022.
In comparison to the September 2021 average of Rs. 587.66 ($ 2.96), the total average shows a significant increase of Rs. 1,011.83 YOY, whilst gaining 1.50 in $ terms as well, Forbes and Walker Tea Brokers said.
It said that in dollar terms, the September 2022 average of $ 4.46 records an increase of $ 0.25 when compared to the August 2022 average of $ 4.21.
When analysing the respective elevational averages for the month of September 2022 – Highest ever High Grown average for the month of Rs. 1,448.14 ($ 4.03) recorded an increase of Rs. 59.88 month on month vis-à-vis Rs. 1,388.26 ($ 3.88) of August 2022. When compared to September 2021 average of Rs. 557.38 ($ 2.81), a significant increase of Rs. 890.76 is recorded YOY, whilst in dollar terms records an increase of $ 1.22.
Highest ever Medium Grown average for a calendar month totalling Rs. 1,336.96 ($ 3.72) for September 2022 recorded an increase of Rs. 100.82 month on month vis-à-vis Rs. 1,236.14 ($ 3.46) of August 2022. When compared to the September 2021 average of Rs. 504.63 ($ 2.66), shows a significant increase of Rs. 832.33 YOY, whilst in $ terms records an increase of $ 1.06.
Low Growns too recorded the highest ever average of Rs. 1,706.02 ($ 4.75) in September 2022 surpassing the previous best of Rs. 1,616.24 ($ 4.52) recorded in August 2022. It records an increase of Rs. 89.78 month on month and a significant Rs. 1,084.85 YOY respectively, with a gain of 1.62 in dollar terms.All elevations record significant gains during the period of January-September 2022 when compared to the corresponding period of 2021, both in rupee and dollar terms.
OSL take:
Sri Lanka’s tea industry is focused on regaining the top slot enjoyed by Ceylon Tea in the international market in the past. It is in such a backdrop that Sri Lanka’s tea production has shown a steady growth while fetching good prices at the tea auctions. The many trade agreements and trade concessions enjoyed by the country have also helped boost Sri Lanka’s tea industry. The government of Sri Lanka has also introduced incentives to the local tea industry to further uplift and develop operations and product output. With tea exports being one of Sri Lanka’s key export commodities, local tea authorities are promoting local tea businesses to engage in more value additions and diversification. All these have resulted in an expansion in opportunities in Sri Lanka’s tea industry, especially targeting the export market. Foreign businesses/investors could explore direct and indirect opportunities in Sri Lanka’s tea industry. They could also look at forming partnerships or joint ventures with local businesses engaged in the tea industry in order to expand operations.
| Article Code : | VBS/AT/21102022/X_3 |