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Kenyan coffee prices were firmer at Tuesday's auction compared to the previous week, due to the better quality of the crop on offer, market participants said. The average price rose to $182.55 per 50 kg bag from $181.28, during the previous sale held two weeks ago. "Next week we will see some very good lots and expect the prices to reflect this trend," said one trader in a market report.
The trader said that the quality of beans at this week's auction was better in some cases than the main crop offered earlier in the year. "We feel that this may be partly due to changes in climatic conditions in Kenya whereby rainfall patterns and also temperatures have changed giving rise to this new phenomenon," he said in the report.
Some 15,129 bags were offered during the auction, with buyers taking up 11,170 of them. Grade AA coffee fetched $241-$157 per bag compared to $218-$183 attained at the previous sale. Buyers took 1,257 of the 2,418 bags on sale. Grade C went for $193-$112 compared to $186-$152 in the previous auction.

Copyright Reuters, 2008

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