Tea Market Report – Week 12

Kenya – Steady Demand Amid Softer Prices

The Mombasa auction offered 192k packages (down from 201k), with 24% unsold. The average price fell by 2 US cents to USD 2.14/kg.

• BP1s: Flavoury KTDA EoR types met steady but slightly easier demand. Sudan’s absence reduced competition. WoR BP1s also eased.

• PF1s: EoR lots continued to decline; better types held, but overall absorption weakened. WoR PF1s sold steady to easier.

• Dust Grades: Best PD/D1s traded easier; mediums and plainer types were steady to easier.Buyers: Pakistan, Egypt, Yemen, and UK remained active but reduced. CIS and Kazakh markets showed selectiveness.Crop: Kenya’s 2024 official crop figure stands at a record 598M kgs (up 5% YoY).Weather: Rainfall with sunny intervals; crop intake steady.Outlook: Demand remains selective amid Ramadan and absence of key markets. Volumes stable at ~200k pkgs; reprints still influencing supply.

Malawi – Cyclone Jude Brings Rain, Demand Remains Strong

The Limbe auction offered 5,300 packages, with continued firm demand across grades.

• BP1s: Gained 4 USC.

• PF1s & Seedlings: Steady demand.

• PDs & D1s: Slightly firmer.

• Offgrades: Fannings steady; dust grades were neglected.Weather: Heavy rains from Cyclone Jude affected withering. Cup quality dipped.Outlook: Prices expected to remain steady to slightly dearer.

Other African Markets

• Uganda: Selective demand; steady to lower prices.

• Tanzania: Minimal offerings (only two PD lines).

• Rwanda: Demand irregular and easier.

• Burundi: Higher availability, but poor quality and unrealistic pricing resulted in no demand.

Sri Lanka – Buoyant Market Despite Mixed Trends

Colombo offered 4.87M kgs with overall buoyant sentiment.

• Ex-Estate: Best BOPs gained 10–15 USC. BOPFs mixed. Nuwara Eliya BOPs were unsold; BOPFs up by 6 USC.

• CTC: Low Grown PF1s firm; BP1s irregular; High/Medium PF1s eased 10 USC during the sale.

• Medium Grown: Better FBOPs & FF1s gained up to 20 USC. OP/OPAs and OP1s were dearer.

• Low Grown Leafy: Select Best OP1s dropped 30 USC; others steady. PEKs/PEK1s gained.

• Small Leaf & Premium: Mostly firm. Premium tippy teas maintained.

• Dusts: High Grown dusts firm; Secondary dusts slightly lower. Low Grown dusts gained.Outlook: Market holding steady with wide buyer activity from Middle East and CIS.

India – Fair Demand in South; New Season Begins

• South India:

  • CTC Dust: Mixed trends. AVT & major packers were active.

  • Leaf CTC: Firm to dearer.

  • Leaf Orthodox: High Grown irregular; Middle East showed interest.

• North India: Old season teas sold on quality. New Dooars just emerging.Outlook: Fair demand expected to continue.

Indonesia – Stable Auction, Ramadhan Pause Incoming

Jakarta offered 6,120 packages, with 23% unsold.

• Orthodox & CTC: Sold steady to easier.

• Java Orthodox PF/Dust: Well absorbed at higher prices.Note: No tea exports from March 24 to April 8 due to Ramadhan logistics restrictions.