Ceylon Tea prices up | Sunday Observer

Ceylon Tea prices up

8 January, 2023

The January-December 2022 cumulative average Ceylon Tea price of Rs. 1,234.24 (USD 3.83) shows a significant increase of Rs. 618.80 vis-à-vis Rs. 615.44 (USD 3.13) for the period January-December 2021, thus establishing the highest-ever average for a calendar year in Rupees. In USD terms the average of USD 4.11 recorded in 2017 remains the highest.

High Growns for the period January-December 2022 which obtained Rs. 1,093.10 (USD 3.40) show an increase of Rs. 505.97 vis-à-vis Rs. 587.13 (USD 2.98) during January-December 2021, according to Forbes & Walker Research.

Medium Growns averaging Rs. 1,030.82 (USD 3.20) have shown an increase of Rs. 480.02 vis-à-vis Rs. 550.80 (USD 2.80) January-December 2021. Meanwhile, Low Growns totalling Rs. 1,339.86 (USD 4.16) for January-December 2022 have shown the highest increase of Rs. 695.63 vis-à-vis Rs. 644.23 (USD 3.27) from January-December 2021.

Cumulative averages show an increase for all elevations in USD terms as well compared to the corresponding period of 2021, with the Sri Lankan Rupee depreciating further in 2022 coupled with low crops experienced during the year. When analysing the cumulative average in USD terms, January-December 2022 average of USD 3.83, records an increase of USD 0.70 vis-à-vis USD 3.13 from January-December 2021.

When compared against the January-December 2017 average of USD 4.11 (highest ever), the 2021 average of USD 3.83 shows a decrease of USD 0.28.

The tea industry could be recognised as one of the most thriving sectors in 2022 with a contribution of 11% of the country’s merchandise export earnings for 2022 (as at October 2022).