DHAKA, July 24 Tea prices in Bangladesh fell at a weekly auction on Tuesday for the third week in succession due to low levels of demand from local buyers amid the Muslim fasting month of Ramadan, brokers said.
The average price of Bangladeshi tea was 234.23 taka ($3.6) per kg against 237.21 taka in the previous auction, an official at National Brokers Limited said.
More than 1.6 million kg of tea was offered at Chittagong, with 19 percent remaining unsold, compared with around 1.2 million kg offered and 30 percent unsold at the previous acution held on July 9.
"Prices dropped again this week as demand is not good during the Muslim fasting month of Ramadan," the official said.
Consumption of tea is typically low during Ramadan, which started earlier this month.
The auction was delayed by a week due to general strikes.
The south Asian country produces 60 million kg of tea a year against a demand of 56 million kg. Tea consumption is rising by 4.5 percent annually, in line with steady economic growth.
Following are the results of the latest auction. Figures in Bangladesh taka per kg.
BROKENS Bold/Large Brokens 232-235 Medium Brokens 232-237 Small Brokens 234-240 Plain Brokens 210-220 FANNINGS Best Fannings 234-238 Good Fannings 230-233 Medium Fannings 225-229 Plain Fannings 210-220 DUST Pekoe Dust Not quoted Red Dust 215-260 Dust 215-257 Churamoni Dust 240-302 (Reporting by Ruma Paul; Editing by Jijo Jacob)
Trending On Reuters
The Reserve Bank of India kept its policy rate on hold at 7.25 percent on Tuesday, as widely expected, while leaving the door open to ease further depending on the inflation outlook and how swiftly banks lower their lending rates. Full Article | Full Coverage