Date:29/05/2006 URL: http://www.thehindubusinessline.com/2006/05/29/stories/2006052900680500.htm

Back Coonoor tea rises on better demand

P.S. Sundar

Coonoor , May 28

Prices rose Rs 2-3 a kg over the previous week at the auctions of the Coonoor Tea Trade Association (CTTA) here on Friday as the demand picked up in the backdrop of the tea chest lifters withdrawing their strike.

Nearly 60 per cent of the teas scheduled for auction next week have already been shifted to the warehouses in Coimbatore to enable their movement to retail ends in the wake of strike in Coonoor. The withdrawal of the strike has benefited all.

"Hopes of tea moving in time kindled greater interest amidst the buyers for domestic markets and exports. Some quality teas fetched even Rs 5 a kg more. If only the entire offer had better quality, the bids would have been higher," an auctioneer told Business Line.

Upcountry buyers picked up brighter liquoring teas. In all, some 6,000 kg fetched over Rs 60 a kg.

Exports

On the export front, Pakistan was forceful. The exporters to this market picked up the well made teas of smaller grades from Rs 46-53 a kg. An exporter said there were good orders for immediate fulfilment and this called for increased purchases beating competition. This week, Pakistan paid higher price than the recent past.

Iraq also bought middle grades such as BOP and BPS, paying up to Rs 43. CIS bought bolder grades paying a minimum of Rs 38.50. Most exporters picked up medium and plainer grades.

Packeteers were active on the liquoring types. On the corporate buying front, Hindustan Lever Ltd was selective towards good medium grades.

Among the CTC teas from bought-leaf sector, Darmona estate got the highest price of Rs 100 a kg. Hittakkal Estate got Rs 80 followed by Homedale Estate Rs 79.90, Vigneshwar Estate Rs 77, Highfield Special Rs 72.59 and Garswood estate clonal Rs 71.85.

Among the orthodox teas from the corporate sector, Prammas got the highest price of Rs 105 a kg, followed by Kairabetta Rs 104.05, Kodanaad Rs 103, Corsely Rs 102, Curzon Rs 101 and Havukkal Rs 100.

Quotations held by the brokers indicated bids ranging from Rs 39-41 a kg for the plain leaf grades and from Rs 62-72 for the brighter liquoring teas. For the plain dust grades, the bids ranged from Rs 41.50-43 and for the brighter liquoring ones, Rs 64-71.