The weekly Mombasa tea auction has reopened for 2020, amid increasing demand for the commodity.
During the first auction of 2020 conducted on 6th and 7th January, over 158,000 packages were sold, out of the 178,431 packages that were offered for sale. This further translates to 10.5 million sold kilograms, compared to the 11.8 million kilograms offered for sale. Compared to the last auction of 2019, there was an increase in sales by 127,000 packages.
East African Tea Trade Association (EATTA) breaks down the auction details as follows:
- Average price per kilo: KSh226
- Volume of Kenyan tea traded: 8.2 million kilograms
- Volume of Ugandan tea traded: 1.3 million kilograms
- Volume of Rwandan tea traded: 559,775 kilograms
- Average price of Rwandan tea per kilo: KSh323
- Average price of Kenyan tea per kilo: KSh238
- Average price of Ugandan tea per kilo: KSh125
Pakistan packers showed increased and strong support and were dominant with more and useful interest from Afghanistan, Egyptian packers and Bazaar. Kazakhstan, other CIS states, Yemen, other Middle Eastern countries, Sudan and Russia were active while UK were active but selective.
The Star quotes the weekly sales report
The weekly Mombasa auction is at the centre of the tea trade in Kenya, and an important reference point for the global tea industry. It is the only centre where teas from different countries are sold alongside each other and, therefore, helps to establish price levels and differentials for teas all over the world.