Green Tea Fetches High Price in the Coonoor Auction

Green tea is a relatively newer variant of tea that is fast becoming popular, especially in the health and fitness circuit. The many health benefits of green tea and its specific role in aiding weight loss has made the drink a favourite go-to beverage for those conscious about their health and fitness. But before you start sipping this wonder beverage, have you ever wondered what could be the best time to drink green tea so that you can make the most of its health benefits?

Price formation process in Indian tea auction is itself a complex process and the outcome is the result of a complex interplay of various factors. There are certain inherent flaws in auction mechanism like cartelization, proxy-bidding, divisibility of lots etc. Still it is difficult to deny its importance in price determination and subsequent influence on the survival of the industry as a whole.

Tea auctions have played a key role as the main vehicle for primary marketing of tea in India since the first auction centre was set up in Kolkata in 1891. The auction system was further strengthened after Independence by the setting up of several other auction centres in northern and southern India. Thus at present there are six principal auction centres, of which Guwahati, Kolkata and Siliguri serve the plantations in north-eastern India while Kochi , Coonoor and Coimbatore serve southern India. Another small north Indian auction centre at Amritsar primarily deals with green tea. Recently a new auction centre was set up in Jalpaiguri.

The price record of ₹2,401 is the highest price fetched by any tea in any auction in any year in any centre anywhere in South India at Sale No: 15 of Coonoor Tea Trade Association auctions.

“Avataa Green tea fetched an all-time high price in South India when Golden Tips Tea Co., bought it for ₹2,401 a kg,” Ravichandran Broos, General Manager, Paramount Tea Marketing, who auctioned the tea,. “By virtue of this, Avataa has broken its own record of ₹2,086 a kg which it created last year,” he noted.

“We are happy over this new record because we manufactured it based on high demand from discerning consumers and tea connoisseurs for this grade. It had fetched Golden Leaf India award for three years,” Avataa Director G Udayakumar said.

“Because this tea is known for its exotic winter characteristics leaving bright yellow liquor and soothing after-taste with favourable flavour. That is why it was able to create a price record,” he explained.

The other price record was created by Vigneshwar Estate Tea Factory, a bought-leaf factory in the small hamlet of Aravenu, also auctioned by Paramount Tea Marketing.

“Vigneshwar Broken Pekoe grade was bought by Vora Sons at ₹322 a kg. This is a new peak for any CTC grade ever sold in South India,” Broos said.

“For the past few years, this tea has been winning Golden Leaf India award in the entire Nilgiris category beating even entries from corporates,” Ramesh Bhojarajan, Managing Partner of Vigneshwar Factory, said.

“This is the highest ever price we have realised for any of our teas since manufacturing started in our factory 30 years ago”, he disclosed.