Prices crashed to six-month low at Sale 50 of the auctions of Coonoor Tea Trade Association (CTTA). The average price nosedived to ₹108.12 a kg – the lowest since June 12.
“In the recent weeks, when prices were ruling higher, 60 to 70 per cent of the offer had remained unsold for want of buyers, especially from upcountry markets and exporters,” CTTA Chairman L Vairavan told BusinessLine.
“To avoid the piling of unsold stock, producers have been sacrificing prices week after week for over a month now,” he said.
“We have appealed to Tea Board to take steps to prevent the sharp fall in prices and to implement seriously the ban in production during the ongoing winter season in North Indian plantation to rid the market of substandard teas,” he disclosed.
This week, no tea could fetch over ₹300/kg. The tea from Homedale Tea Factory, auctioned by Global Tea Brokers, topped the entire auction when Tea Sip and Taste bought it for ₹270 a kg.
Shanthi Supreme (₹208) and Crosshill Estate Special (₹205) were the only other CTC teas which fetched over ₹ 200/kg.
Among Orthodox teas, Kodanad topped at ₹251 followed by Glendale ₹235, Havukal ₹225, Goldsland ₹221, Devashola and Lockhart Gold ₹216 each, Lockhart ₹211, Kairbetta ₹210 and Kil Kotagiri ₹206.