Tea prices snap 4-weeks of gains on higher supplies

Tea prices in Bangladesh slipped at a weekly auction on Tuesday, snapping a four-week run of gains, as this season’s highest volume on offer offset demand from local buyers for the winter season, brokers said.

teaThe average price of Bangladeshi tea was 206.36 taka ($2.65) per kg against 213.25 taka in the previous auction held on Nov.  13, an official from National Brokers Ltd said.

More than 2.4 million kg of tea was offered at the country’s sole auction centre in Chittagong, with nearly 22 percent remaining unsold, compared with 2.3 million kg offered and 17 percent unsold at the previous auction.

Demand for tea usually picks up in winter, which begins late this month.

Tea prices in India, the world’s second-biggest producer, were largely steady at last week’s auction, while the average price of top Kenyan tea eased to $3.57 per kg at last week’s auction from $3.72 per kg in the previous week.