Bangladesh tea prices rise

Tea prices in Bangladesh surged at the first auction of the new season on Tuesday on robust demand from local buyers for good quality crop, brokers said. The average price of Bangladeshi tea rose to 279.91 taka ($3.6) per kg against 164.56 taka in the last sale of last season, an official at National Brokers Limited said.
Around 702,860 kg of tea were offered at Chittagong, with nearly 20 percent unsold. "The first sale of the season commenced on a fairly good note with buyers following quality closely," National Brokers said in its market report. Last January, Bangladesh's tax authority imposed a 25 percent duty on tea imports to safeguard the local industry. The south Asian country produces 60 million kg of tea a year against demand of 56 million. Tea consumption is rising by 4.5 percent annually, in line with steady economic growth.