Tea prices end four-week climb

Tea prices at the weekly auction at Chittagong edged Tuesday down snapping a four-week run of gains, on higher supplies but demand for quality leaf capped the slide and sales rose, reports Reuters.

Tea prices dropped sharply in the last marketing season on poor demand from local buyers because of the damage to business sentiment caused by the renewed political unrest early this year that left more than 120 people dead and disrupted supplies.

Bangladeshi tea fetched an average 212.47 taka ($2.6) per kg at the auction, the fifth of the new marketing season, compared with 213 taka at the previous sale, said an executive with National Brokers Ltd.

"Strong demand from local buyers for quality tea limited the fall despite a larger volume on offer this week and sales volume also rose," he added.

The country has moved from being a net exporter to a net importer of tea because of rising consumption.