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Tanzanian coffee prices were mixed at this week's auction, with some easing but cushioned by strong New York prices and increased demand for beans from major buyers, traders said on Saturday.
The Tanzania Coffee Board (TCB) said 18,534 60-kg bags were offered for sale, with 18,432 sold. At last week's sale, 27,899 bags were offered, with 26,316 sold. Benchmark grade AA fetched $129.20-$165.00 per 50-kg bag, compared with $140.80-$165.60 at the previous sale.
Grade A sold at $127.40-$154.00 per bag, compared with $138.60-$151.40 per bag at last week's auction. "It was again quite a firm auction following high New York prices at the moment. The major buyers were active. There are certainly four or five that are really fighting for the coffee," said a trader at a leading export company.
The trader said that the auction had for the first time in the 2007/08 crop season received arabica coffee from the southern part of the country. Tanzania's arabica prices largely follow those in New York. The auction took place on Thursday and the results were issued late on Friday.

Copyright Reuters, 2007

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