Kenya tea prices fall at latest sale, more sold

Reuters

NAIROBI,Kenya - The average price for top grade Kenyan tea fell to $2.99 per kg at this week's sale from $3.05 per kg last week, while the amount sold rose, brokers said on Wednesday.

Mombasa-based Africa Tea Brokers (ATB) said 121,437 packages were offered, with 13,498 left unsold. Last week, 116,278 packages offered, with 21,979 left unsold.

Tea is a major export for the east African country, and is expected to fetch a record 106 billion shillings ($1 billion) in 2011, up from 97 billion shillings last year.

ATB said Best BP1s sold at $3.68-$2.30 per kg from $3.50-$2.60 per kg last week. Best Pekoe Fanning Ones fetched $3.80-$3.36 per kg compared with $3.80-$3.34 previously.

ATB said Pakistan and Egyptian Packers were the strongest buyers during the auction, while United Kingdom, Afghanistan and Bazaar showed more interest. (Reporting by Kevin Mwanza; Editing by George Obulutsa and Alison Birrane)