Sri Lanka’s tea export volume for January 2019 shows an increase when compared with January 2018
Tea export volumes of Sri Lanka for the month of January 2019 have reportedly totaled 23.6 M/kgs, which is an increase of 2.7 M/kgs from the same period last year.
Forbes & Walker Tea Brokers has stated in their new report that tea bags and packeted tea have shown a growth during the period under review, whilst Bulk tea has shown a decrease.
Total revenue realized has been Rs. 20.1 billion, which is also an increase of Rs. 3 billion vis-à-vis Rs. 17.1 billion of January 2018.
Following is the report released by Forbes & Walker Tea Brokers:
A total of 6.54 M/kgs came under the hammer this week. High & Mid Grown Small Leaf teas witnessed selective demand, whilst Low Grown Large Leaf teas continued to meet with good demand.
Ex-Estate offerings totalled 1.0 M/kgs. Overall, quality of teas from the Westerns were irregular, although a fair selection of all-around teas were on offer. Considering the available quality, demand was disappointing particularly for a selection of brighter BOPF, which remained unsold due to lack of any suitable bid. Teas at the lower end met with much less demand and often declined Rs. 20-30/- per kg. Nuwara Eliya – few select invoices appreciated substantially following special inquiry, whilst the others barely maintained last levels. Udapussellawas – prices were irregular following quality. Uva BOP/BOPF had on offer a selection of teas that sold at firm to dearer rates, whilst the others were often lower by a similar margin. Liquoring Leafy teas continued to sell well although at slightly easier rates.
Low Growns comprised of approximately 2.7 M/kgs in the Leafy/Tippy catalogues. There was good demand. In the Leafy catalogues, OP/OPA’s sold at fully firm to dearer rates. Better BOP1/OP1’s too were generally firm on last. Others, where quality was not maintained, prices declined marginally. PEK/PEK1’s were generally firm to dearer. Here again, teas where quality was not maintained were generally easier. In the Tippy catalogues, select best FBOP/FF1’s together with the cleaner secondaries were fully firm. Others were lower following quality. In the Premium catalogue, well made teas were fully firm, whilst others were irregular. There was good demand from shippers to CIS, Turkey, Iraq, Libya, Dubai and Saudi Arabia.
SRI LANKA TEA PRODUCTION – JANUARY 2019
January 2019 production – down 1.06 M/kgs YOY
Tea production for the month of January 2019 totalled 23.2 M/kgs vis-à-vis 24.2 M/kgs of January 2018 showing a decrease of 1.06 M/kgs. Medium Growns, totalling 3.5 M/kgs for January 2019 have shown a growth of 0.4 M/kgs vis-à-vis 3.1 M/kgs of January 2018, whilst High Growns, totalling 4.7 M/kgs, have shown a decline of 0.3 M/kg vis-à-vis 5.0 M/kgs of January 2018. Low Growns too, totalling 14.7 M/kgs, have shown a decrease of 1.2 M/kgs vis-à-vis 15.9 M/kgs of January 2018.
January 2019 total CTC production of 1.8 M/kgs has shown a decrease of 0.15 M/kgs vis-à-vis 1.9 M/kgs of January 2018. High Growns, totalling 0.26 M/kgs for January 2019, have shown a decrease of 0.08 M/kgs vis-à-vis 0.34 M/kgs of January 2018. Mediums too totalling 0.64 M/kgs have shown a marginal decrease compared to 0.65 M/kgs of January 2018. Meanwhile, Low Growns, totalling 0.89 M/kgs for January 2019, have shown a decrease of 0.07 M/kgs compared to 0.96 M/kgs of January 2018. (See more details on page no.12)
SRI LANKA TEA EXPORTS – JANUARY 2019
Volume up 2.7 M/kgs
Revenue up Rs. 3 B
Tea Exports for the month of January 2019 totalled 23.6 M/kgs vis-à-vis 20.9 M/kgs of January 2018, showing a gain of 2.7 M/kgs. Tea bags and Packeted tea have shown a growth during the period under review, whilst Bulk tea has shown a decrease. Total revenue realized been Rs. 20.1 B, show an increase of Rs. 3 B vis-à-vis Rs. 17.1 B of January 2018. Consequently, the FOB value too, of Rs. 852.14, has shown a growth of Rs. 33.41 vis-à-vis Rs. 818.73 of January 2018. (See more details on page no.8)
When analyzing the major importers of Sri Lankan Tea, Iraq has emerged as the largest importer followed by Russia and Turkey, whilst Iran, Libya and Syria are some of the other noteworthy importers for the period under review.
OSL take:
The growth recorded in Sri Lanka’s tea export volume this January when compared with January 2018 is a positive sign on the slow yet steady growth of the country’s tea sector. Given the Sri Lankan government’s policies on supporting the up-liftment of the plantation sector, especially in the tea sector, foreign businesses/investors could explore business/investment opportunities in the field of tea.
| Article Code : | VBS/AT/25022019/Z_8 |