Local tea cos rush for end-season auctions

KOLKATA: Regional tea packeteers which brand and market the beverage to retail consumers have started buying larger volumes to tide over the last two months of the current marketing year that was witness to record prices and less production. Players from northern and western India have become active at the auctions pushing up prices by `10 per kg.

Packeteers such as Marvel Tea Estate India, Mohini Tea Leaves, Wagh Bakri and Bhilwara-based Fashion Suitings, which is also into tea, have become active at Kolkata and Guwahati auctions. Regional players are buying good volumes. We have teas till sale 9 which will take place by end of February, said J Kalyansundaram, secretary, Calcutta Tea Traders Association (CTTA).

The auction centre at Kolkata has an average of 4.5-5 million tea on offer every week. We have all kinds of tea: CTC, dust, orthodox and Darjeeling on offer, said Kalyansundaram. The Dooars teas that are now being offered at Siliguri auctions are being bought by players from Punjab and Uttar Pradesh. Though regional packeteers and local buyers are active for the end-season teas, big packeteers have not stopped buying as yet.

Tata Global Beverages and HUL are still very active at the auctions. They also are stocking teas for the next two months till new teas enter the markets, said Gopal Poddar, chairman of Limtex. The export market too is active. There is good demand from these countries. If this trend continues, then prices will rule firm in the next season beginning March, he added.

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