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Sri Lanka Tea production, exports decline in August 2020

Sri Lanka Tea production, exports decline in August 2020

Sep 27, 2020

Colombo (Sri Lanka) September 27: Sri Lanka Tea production totaled 22.4 million kgs in August 2020 recording a decrease of 3.7 million kgs compared to 26.2 million kgs of August 2019, Tea Exporters Association report said.
All elevations have shown a decrease in production YOY, with Low Growns recording the highest, followed by High Growns and Medium Growns.
January-August2020 cumulative production of 179.1 million kgs too, shows a decrease of 31.8 million kgs against the volume of 211.01 million kgs of January-August 2019.
All elevations show a decrease YOY with Low Growns, once again, recording the highest deficit followed by High Growns and Medium Growns.
CTC production for August 2020 of 1.6 million kgs shows a fairly significant decrease of 0.5 million kgs when compared with 2.2 million kgs of August 2019.
On a cumulative basis, January-August 2020 CTC production of 15.6 million kgs records a marginal gain vis-a-vis 15.4 million kgs of January-August 2019. High Growns show a gain YOY, whilst Mediums remained static. Low Growns, however, show a decrease compared to the corresponding period of 2019.
Sri Lanka's Tea exports for the month of August 2020 totalled 22.01 million kgs, recording a deficit of 4.19 million kgs vis-a-vis 26.20 million kgs of 2019.
Tea Bags, Tea in Packets and Bulk tea segments have shown a decline YOY.
Total revenue of Rs. 19.03 billion for August 2020 too shows a decrease of Rs. 2.10 billion against the revenue of Rs. 21.1 B of August 2019. However, the total FOB value of Rs. 864.99 (USD 4.71) shows a gain of Rs. 58.59 vis-a-vis Rs. 806.40 (USD 4.54) of August 2019.
January-August 2020 cumulative exports totaled 174.1 million kgs recording a decrease of 22.1 million kgs against the volume of 196.2 million kgs of January-August 2019.
All main categories of exports, (i.e. Tea bags, Packeted tea and Bulk tea) have shown a decrease compared to the corresponding period of 2019.
Total revenue too of Rs. 149.4 billion shows a deficit of Rs. 13.1 billion vis-a-vis Rs. 162.5 billion of 2019. Meanwhile, January-August 2020 FOB value of Rs. 858.25 (USD 4.67) shows a gain of Rs. 29.87 vis-a-vis Rs. 828.38 (USD 4.68) of January-August 2019.
Turkey has emerged as the largest importer followed by Iraq and Russia. Iran, China, Azerbaijan, Chile, Libya and Syria are some of the other noteworthy importers.
It is also relevant to note that destinations such as the UAE, Japan and Hong Kong have shown a fairly significant decrease in imports during the period under review.
Source: ColomboPage