12 August 2021 08:32 am
Sri Lanka’s tea industry witnessed an improvement in production and exports in 1H21 when compared with the corresponding period in 2020, although the country continues to grapple with the implications arising from the pandemic.
For the first six months ending in June, tea production reached 161.49 MnKgs, a 31.02 MnKg increase when compared with the figures recorded in 1H20.
High, Medium and Low Growns showed an increase in volume in the said period when compared with the 2020 figures.
A report by Ceylon Tea Brokers stated that the CTC High, Medium and Low Growns show an increase in volume in comparison to the period January to June 2020.
The total national average of teas sold for the period January to June 2021 was Rs.626.45 per kilo, when compared with the Rs.627.85 recorded the same period last year.
Low Growns averaged Rs.654.73, Mid Growns recorded Rs.566.38 and High Growns averaged Rs.596.94.
In dollar terms, all three elevations witnessed a decrease. Low Growns, which has the largest market share with 60.05 percent of the production, recorded a decrease of Rs.12.1, whereas High Growns recorded an increase of Rs.12.84. Medium Grown recorded an increase of Rs.12.92 when compared to the corresponding period in 2020.
Similarly exports in 1H21 increased by 12.90 MnKg when compared with the 1H20 figures. A total of 136.98 MnKg of Ceylon Tea was exported in the period. In terms of revenue, tea exports fetched Rs.127.83 billion earnings, an increase from the Rs.106.08 billion recorded for the period January to June 2020.
The country-wise analysis of exports shows that Turkey emerged as the largest importer of Sri Lanka tea for 1H21, followed by Iraq and Russia.
Tea exports to Turkey increased by 1.29 MnKgs. However, exports to Iraq and Russia have contracted by 0.15 MnKg and 1.13 MnKg. Tea exports to the UAE have increased by 6.97 MnKg, whereas to China exports have increased by 2.38 MnKg compared to the same period in 2020.