Date:23/12/2005 URL: http://www.thehindubusinessline.com/2005/12/23/stories/2005122300611200.htm

Back Coonoor tea sales to witness lowest volume

P.S. Sundar

Coonoor , Dec. 22

THE year's lowest volume of 7.8 lakh kg has been catalogued for the auctions of the Coonoor Tea Trade Association (CTTA) to take place this week.

Of this, 5.59 lakh kg belongs to the leaf grades and the remaining 2.21 lakh kg, the dust grades. As much as 7.10 lakh kg belongs to the CTC variety and the balance 0.70 lakh kg belongs to the orthodox variety. Of this, 0.29 lakh kg belongs to the leaf grades and the balance 0.41 lakh kg, the dust grades.

The volume has been dwindling in the recent weeks with last week's volume of 9.26 lakh kg the lowest until then. But, with the forthcoming volume being the lowest for 2005, the second lowest had been 8.4 lakh kgoffered early this month.

This is the eighth time this year when the volume on offer is lower than 10-lakh kg level. This is also the second time when the volume is lower than 9-lakh kg and the first time when it is lower than 8 lakh kg.

The reduction in volume in the recent weeks had helped the demand to push up the prices. Week after week, prices had been improving around Rs 3 a kg. The bottom line, which was around Rs 20 a kg until a few months ago , has risen to Rs 30 with most teas selling above Rs 36.

Last week, around 5,000 kg fetched more than Rs 60 a kg.