Sri Lanka tea exports down 8–pct from in Sept, earnings continue hit record levels

ECONOMYNEXT – Sri Lanka tea exports fell 8.02 percent from a year ago to 21.5 million kilograms in September 2022, but rupee and dollar incomes hit a record, Forbes and Walker, a Colombo-based tea brokerage said.

The average rupee value of a kilogram of exported tea hit 1,981.63 rupees, the highest monthly value, up from 1,951.82 in Agust, Forbes said.

The dollar value also rose 70 cents to 5.52 in September from 5.45 dollars in August.

Sri Lanka’s rupee collapsed from 182 to the US dollar to 360 to the US dollar after two years of money printing.

In September bulk tea exports fell 6.2 percent to 9.86 million kilograms, tea in packets down 13.3 percent to 9.26 million kilograms and tea in bags rose a marginal 02 percent to 1.65 million kilograms.

In the nine months of 2022 Sri Lanka exports fell 9 percent to 192.60 million kilograms.

Sri Lanka’s tea sector has been hit by a ban on fertilizer and safe agrochemicals during the administration of President Gotabaya Rajapaksa.

Iraq has imported 48.15 million kilograms of Ceylon tea remaining the top buyer.

Russia has secured second position with a total of 17.80 million kilograms, which is a 12 percent decrease against total imports recorded for January-September 2021, Forbes and Walkers said.

UAE sits in 3rd place with a total of 16.71 million kilograms followed by Türkiye, Iran, Libya and Azerbaijan during the period January-September 2022.

A significant decrease in imports is reported from Türkiye 55 percent, China 19 percent, Chile 11 percent, Syria 22 percent, Japan 10 percent and Jordon 24 percent compared to the previous year, the tea broker said.

(Colombo/Oct16/2022)