Market Report – Week 15 (10 April 2025)

🇰🇪 Kenya – Historic Auction Revival Amid Steady Demand

This week saw the return of the first open outcry auction in five years—marking a nostalgic and symbolic moment for the Kenyan tea trade. The Mombasa auction featured 191,000 packages, with 37% remaining unsold. The average price dropped by 4 USC to USD 2.05/kg.

• BP1s: Flavoury EoR BP1s met irregular demand at steady to easier levels. Sudan’s continued absence dampened the market.

• PF1s: Increased offerings led to softer prices, though Pakistan began re-entering the market post-Eid.

• Dust Grades: Best PDs sold steady to easier; D1s were firm. Medium grades showed mixed performance.

Weather: Scattered rainfall across growing areas with cooler days and warmer nights. Crop harvest is increasing gradually.

Outlook: Supply remains steady at ~190k packages, though still below seasonal averages. A slow improvement in demand is expected as key markets return.

🇲🇼 Malawi – Fairly Good Demand

Blantyre recorded 7,220 packages. BP1s sold at firmer rates, while PDs saw minimal interest. Other grades met selective demand.

Weather: Hot days and cool nights in Mulanje and Thyolo with isolated showers.

Outlook: Crop intake remains strong with March output at 6.14 million kgs. Market expected to stay steady.

🌍 Other African Markets

• Rwanda: Selective demand, steady to easier.

• Uganda: All types sold irregularly easier; supported by Pakistan, UK, CIS, and Russia.

• Burundi: Improved availability but nil demand on main grades due to poor quality.

• Tanzania: Demand selective and steady to easier.

🇱🇰 Sri Lanka – Lower Demand Despite Rainfall

Colombo auction offered 5.13 Mn kgs. A bearish market prevailed with widespread price easing.

• Ex-Estate: BOPs and BOPFs declined up to USC 30, except Nuwara Eliya BOP/BOPF which gained USC 20–40.

• CTC: Low Grown PF1s were USC 10 lower; BP1s held steady. High & Medium PF1s traded irregularly easier.

• Medium Grown: Mixed results with better OP1s firm and others down USC 10–15.

• Low Grown Leafy: Mostly easier with some premium tippy varieties holding or gaining.

Outlook: Better rainfall supports production, but worker protests may hamper output. Mid-term supply is expected to improve.

🇮🇳 India – Fair Demand, First Flush Begins

Orthodox and CTC teas are seeing firm demand in North and South India. South Indian production is rising but slightly lower than last year.

Outlook: First flush teas from Assam and Darjeeling are arriving but expected to have limited market impact. Sentiment remains steady amid expectations of a normal monsoon.