Floods, landslides seen hitting Sri Lanka tea output
ECONOMYNEXT – Recent floods and landslides triggered by heavy monsoon rains in Sri Lanka could disrupt tea production since some of the worst affected were tea-growing regions of the south, brokers said.
Tea prices at the Colombo auctions remained at record levels in both rupee and US dollar terms in May owing to a shortage of crop, Forbes & Walker Tea Brokers said.
“Sri Lanka tea production is likely to be further impacted as the country experienced its worst disaster from torrential rain since 2003 last week,” they said in a report.
“The worst affected is the Southern and Sabaragamuwa provinces.”
Over 200 people have died from the floods and landslides with 100 missing and over half-a-million people displaced.
“The current scenario would adversely impact the tea production particularly in the Low Grown sector,” the brokers said.
Floods affected mainly the southern region where low grown teas, which make up the bulk of the island’s tea crop, are grown.
The floods and landslides also disrupted tea transportation which will reduce volumes at the Colombo auctions, Tea Board officials said.
(COLOMBO, June 01, 2017)