Connect with us

Business

Colombo tea prices spiral as Covid-19 lockdowns depress global producers

Published

on

by Steve A. Morrell

Brokers agreed in their weekly market reports that tea production at 21.9 million kilos for September 2020 was more or less on par with the corresponding month of the previous year (2019).

However, performance year-on-year indicated dismal results with Asia Siyaka Tea Brokers saying comparative results in cumulative perspective reflected a minus variance deficit of 31.8 million kilos.

Production at the end of 2019 was 300.1 million kilos. The deficit performance by end September 2019, cumulatively at 201.1 million kilos, was an indicator that the minus variance would continue with production remaining at that level. Production at end September 2019 was 232.9 million kilos.

Attributed to the production deficit results was the severe drought in the first quarter of 2020, which retarded growth. The drought cut across all elevations, but particularly impacted on low growns, which set back production.

However, prices remained at competitive levels. Cumulatively, up to October 14, 2020, the net sales average (NSA) was Rs. 645.03 per kilo. The 2019 average over the same period was Rs. 513.47 per kilo.

The price table of John Keells Tea Market Report showed a steady increase in prices over the months in 2020. Low growns recorded the highest levels at Rs. 674.25 per kilo thereby contributing substantially to the upward trend in the price table.

The report also said flowery grades prices were high. For low growns, FBOPF recorded Rs. 2,800 per kilo while Op 1 fetched Rs. 3,100. per kilo.

The reasons attributed for the price increases in Colombo were shortages in producing countries in the backdrop of global corona lockdowns. India was singled out for its traumatic market conditions because of the pandemic sweeping the world.

The Uva quality season made a difference in Colombo. Though this year, the season was short-lived, it did contribute its share to the price table.

The Forbes & Walker Tea Market report said CTC (Cut Twist Curl) production at end September 2020 recorded marginal decrease of 0.1 million kilos. However, prices at Rs. 569.95 per kilo were better than the Rs. 420.25 fetched in 2019.

Although, the Covid-19 resulted in a global economic crisis, tea production continued to sustain economic activity in Sri Lanka without interruption. Tea was produced, sales and auctions were carried out and the produce was shipped out as routine.

Brokers attributed the sustained forward movement of the industry to the plantations and the tea smallholders, who continued normal production.



Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

HNB joins CBSL to promote ‘Rata Purama LANKAQR’ campaign in Kandy

Published

on

HNB PLC once again joined the Central Bank of Sri Lanka (CBSL) to promote the ‘Rata Purama LANKAQR’ campaign to raise awareness and encourage the public in the Kandy district towards a cashless payment ecosystem.

HNB, together with other financial institutions and telecommunication partners, participated in the day-long event held at the Kandy City Center. The bank raised awareness regarding its LANKAQR integrated HNB SOLO payment app while onboarding merchants during the promotional campaign.

“During the early stages of the pandemic we witnessed many of our customers and members of the public seamlessly adopt our cashless and contactless payment app HNB SOLO. With COVID and the subsequent launch of the ‘Rata Purama LANKAQR’ campaign the number of users of these types of systems have increased exponentially.

“Given that the mutual vision of the Central Bank of Sri Lanka and HNB is for a financially and technologically empowered Sri Lanka, HNB is proud to serve as an enthusiastic partner to roll out LANKAQR island-wide. The fact that we now have merchants in the cultural capital of Sri Lanka making this shift is another major milestone in this digitalization journey,” HNB Deputy General Manager – Retail and SME Banking, Sanjay Wijemanne said.

 

Continue Reading

Business

ComBank’s ATM network sets new records for cash dispensed during festive season

Published

on

The automated teller machine (ATM) network of Commercial Bank of Ceylon dispensed a record Rs 8.818 billion on 9th and 10th April 2021, shattering the previous records for the highest and second highest cash disbursements for a 24-hour period, as Sri Lanka’s leading private bank facilitated the celebration of the Sinhala and Tamil New Year.

The disbursements of Rs 4.498 billion on April 9 and Rs 4.320 billion on the following day represented a substantial increase over the single-day values recorded in previous years.

In total, Commercial Bank dispensed Rs 41.748 billion via its ATM network between 1st and 15th April 2021 at an average of Rs 2.783 billion per day, reaffirming the indispensable role it plays in the lives of Sri Lankans, as well as the reliability and robustness of the network. On seven of these 15 days the network dispensed more than Rs 2 billion a day, and on five days disbursements exceeded Rs 3 billion a day, the Bank said.

Comprising of 890 ATMs, the network processed 2.434 million transactions over the 15 days at an average of 168,988 transactions a day, while on 9th April, the number of transactions processed totalled 233,990 at an average of 9,749 transactions per hour or 162 transactions per minute.

The first Sri Lankan bank to be listed among the Top 1000 Banks of the World and the only Sri Lankan bank to be so listed for 10 years consecutively, Commercial Bank operates a network of 268 branches in Sri Lanka. The Bank’s overseas operations encompass Bangladesh, where the bank operates 19 outlets; Myanmar, where it has a Microfinance company in Nay Pyi Taw; and the Maldives, where the bank has a fully-fledged Tier I Bank with a majority stake.

Continue Reading

Business

‘Ceylinco VIP Cyber Tharu’ to showcase Sri Lankan talent

Published

on

Ceylinco General Insurance has announced an online competition with a novel concept to showcase Sri Lankan talent by providing a platform for them with the opportunity to win handsome cash prizes.

“This time, our effort is to organize an online competition that provides an opportunity for Sri Lankan people to display their talent and also to identify hidden talents whilst rewarding them. There will be five overall winners whose prize money will be over Rs. 1 million and each category winner will get Rs 100,000/-. Ten randomly picked voters too will receive handsome cash awards,” said Patrick Alwis, chairman CEO of Ceylinco General Insurance.

The guidelines and the criteria of the competition were announced recently through a dedicated website and other social media platforms: Facebook, Instagram, twitter, You Tube as well as LinkedIn. Contestants can perform under five categories, namely, singing, dancing, instrumental performances, fashion modelling and funny videos / Standup comedy. Individuals over 18 years could perform under the individual category whilst the group category will have no age limit.

Under the group category either families or a group of friends could take part. Each entry will have to be specially recorded for this competition. Prior to recording the performance, they should download the image of the logo and have it displayed prominently in the background. Performances could be recorded using a smart phone or a video cam.

 

Continue Reading

Trending