Big tea sellers likely to enter auction in June

KOLKATA: Having piled up a huge stock of tea in 2009, big tea sellers such as Tata Tea, Hindustan Unilever, Jay Shree Tea & Industries and others are staying away from the auctions in the beginning of the tea season. On the contrary, the regional and local packeteers have become active at the auctions and are buying teas at a price which is higher by Rs 10-15 per kg.

“Big tea sellers such as Tata Tea, Hindustan Unilever, Jay Shree Tea and others are expected to enter the market in June. The regional and local buyers are active now. However, most quality teas are being bought through private deals,” said J Kalyansundaram, secretary of Calcutta Tea Traders Association.

Senior tea industry officials said that since the regional and local players do not have enough cash in hand to pile up stock, they buy in small quantities throughout the year. According to information trickling from the global tea market, international tea output is posting an increase in calendar year 2010 over 2009.