WEEK 25, 2019
Tea market report 17 – 21 June 2019
While auctions quantities are moving up, there was less demand for the 2nd week in a row in the Mombasa auction. All grades traded at lower levels and a heavy 32% came out. Tea growing conditions have been healthy in the previous 4-6 weeks which is resulting in large auctions ahead of us. This, combined with devaluating Pakistan Rupee & hot weather in Pakistan is a big factor in the gap in demand. Current price levels are low and appear to be attractive for buyers but are not sustainable for the tea industry. Current weather conditions are not perfect for growing tea but crop intake remains fairly high, especially West of Rift. Also the Limbe auction met less demand.
“If I had asked people what they wanted, they would have said faster horses.” – Henry Ford
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