The average prices at sale 27 of the auctions of Coonoor Tea Trade Association crashed to ₹ 93.81 a kg – the lowest of not only all the auctions held so far this calendar but the lowest since April 20, 2020 when the price was ₹92.08.
Nevertheless, the demand from both upcountry buyers and exporters was inadequate to absorb the teas on auction. Consequently, teas worth ₹4.14 crore remained unsold as there were no takers for about 20 per cent of the offer.
With the fall in price, the overall earnings declined to ₹17.38 crore from previous week’s ₹18.82 crore. This meant a decrease of ₹1.44 crore or 7.65 per cent in the earnings in just one week.
Buyers said that they are facing a fund-crunch arising from low realisations for the teas already sold due to lockdown restrictions in different States and countries in the last three months. This is limiting their options to invest now, they said.
“The green tea from Pascoes Woodlands topped the auctions when Indrani International bought it for ₹ 300 a kg”, Ravichandran Broos, General Manager, Paramount Tea Marketing (SI) P Ltd., who auctioned this tea, told BusinessLine.
Among orthodox teas, Kodanad got ₹250, Glendale ₹236, Nonsuch Orthodox ₹216, Kil Kotagiri ₹213, Mailoor ₹212, Devashola ₹201 and Brookelands Gold ₹200.
Among CTC teas, Homedale Estate’s Broken Orange Pekoe Fanning grade, auctioned by Global Tea Brokers, topped when Tea Services India Pvt Ltd., bought it for ₹297 a kg.
Pinewood Estate got ₹227, Riverside Estate ₹220, Hittakkal Estate ₹215, Bellatti Estate and Shanthi Supreme ₹211 each, Vigneshwar Estate ₹209 and Bathma Excel ₹201.