Commodities

Tea declines slightly in latest weekly auction

tea

A woman plucks tea on a farm in Kiptagich, Kuresoi South in Nakuru County along the Olenguruone- Bomet road in this photo taken on Monday, May 03, 2021. PHOTO | JOHN NJOROGE | NMG

geraldandae

Summary

  • The price of tea at the Mombasa auction declined marginally to reverse the gains witnessed in the first sale of this year.
  • East African Tea Traders Association (Eatta) said the traded prices of the beverage declined to Sh269 for a 50-kilo bag in the latest sale down from Sh276 that was recorded in the previous trading.
  • The price of the beverage had started the year on a good note, hitting a six-year high in the first trading of 2022 that was held at the beginning of January.

The price of tea at the Mombasa auction declined marginally to reverse the gains witnessed in the first sale of this year.

East African Tea Traders Association (Eatta) said the traded prices of the beverage declined to Sh269 for a 50-kilo bag in the latest sale down from Sh276 that was recorded in the previous trading.

The price of the beverage had started the year on a good note, hitting a six-year high in the first trading of 2022 that was held at the beginning of January.

The auction continues to record an increase in volumes with last week’s quantities going up by 3,779 kilogrammes.

“There was an improved general demand for the 193,696 packages (12.7 million kilos) available for sale with 160,718 packages (10.7 million kilos) being sold while 17 percent of the packages remained unsold,” said the Eatta.

There is a high likelihood that the prices of the beverage will go up in the coming weeks as Kenya enters the dry season, which will hurt the production of green leaf on the farms.

Farmers in tea growing zones normally prune their tea bushes during the dry season, a move that normally impacts on volumes delivered to the factories.