Week ending 7th March sale volume was 4.7 million kilos. Last week quantity sold dropped further to 4.4 million kilos. But prices appreciated considerably. ’That too good prices were paid for an exceptional products .’It was not that just because crops were down buyers paid well. Certainly not. Product quality was exceptional and because of that phenomenon, tea sold at good prices. Last week average peaked at Rs 325.47. Previously overall average was Rs308.44. an increase of Rs17.03. This was not merely good, but phenomenal, Brokers said.

Asia Siyaka tea market report said that low grown flowery grades sold at substantially dearer prices. Agilma, FBOPF Ex SP. What that means is Flowery Broken Orange Pekoe Fannings, Extra Special sold at Rs.1100. per kilo. similarly Rasota FBOPF Sp was bought at Rs.1960. per kilo. Those were notable good prices. But most selling marks among low growns, sold at prices in excess of Rupees 600. per kilo.

Weather this was common at all elevations was confirmed because Westerns and High growns too fared exceptionally well. Performance levels although at more realistic values were nevertheless lower than that at the lower elevational, average returns were at Rs.270. per kilo average.

MRL or Maximum residue levels; of late regulators and consumers in developed countries are concerned on safety matters Ceylon tea is now reportedly the cleanest in the world and drunk within those guide lines. We adhere to all strictures enforced through HACCP pointers and also keep well within those that govern ethical tea production.

Based on those self enforced guide lines the industry is now set to take off to new heights subject to such requirements being met.

January tea crop at17.6 million crop was the lowest on record. Since 1994.February promises to be worse. The Small holder sector too did not fare any better.

However with current evening showers reported in all planting districts expectations are that crop would pick up end March. April would be a good cropping month Brokers said.

Most tea producing countries have recorded depressed harvests. These facts were highlighted in the ASIA Siyaka tea market report. Last week,

Apart from North India, recording increased crop intakes all other countries are in the minus category. Sri Lanka recorded the mopst significant decrease at 8.57 million kilos in deficite.

Uganda and Bangladesh too have reported crop gains. All others have declined..

Reverting to January crop, the Asia Siyaka report, indicated that over the last five years, 24.5 million kilos was the average.

We will examine reasons for this debacle in the next few weeks.

Plantations have reported that cost of production (COP), is now at an exceedingly high figure of approximately Rs.450. per kilo. Plucking is now limited to three days each week.