Sept. 14 (Bloomberg) -- Tanzania’s benchmark coffee climbed as much as 18 percent at an auction yesterday after supplies of the grade dropped and global prices increased, the Tanzania Coffee Board said.
The benchmark Arabica AA sold for as much as $220 per 50-kilogram (110-pound) bag from $187 a week earlier, the board said today by e-mail from Moshi, in northern Tanzania. Supplies of the grade fell 17 percent to 5,526 bags, it said.
The grade sold for a minimum of $186 a bag from $170 last week, while the average price climbed to $191.42 from $178.35 a bag at the previous sale, the agency said.
The U.S., Japan and Germany are among the importers of Tanzania coffee, according to the board. Tanzania reaps its crop from April through August. Arabica accounts for 75 percent of the country’s output, while robusta accounts for the rest.
Supplies for all the coffee at the auction climbed 13 percent to 21,915 bags, while sales rose 25 percent to 21,315 bags, the agency said. The board offers its bags in 60-kilogram packages and costs in 50 kilograms.
Production for the current marketing season in the 12 months through June next year may climb to 61,012 metric tons from 32,045 tons because of a high-yield crop cycle and good weather, the board said in May.
The following are details of yesterday’s auction in U.S. dollars for a 50-kilogram bag for the good grades:
Mild Coffee: Grade Offer Sold High Low Average Arabica AA 5,526 5,277 220 186.80 191.42 Arabica A 4,438 4,295 203.40 185 188.46 Arabica AB 914 914 205.20 175 187.36 Arabica B 3,434 3,303 200.20 182.20 185.28 Arabica PB 1,318 1,164 196 180.20 186.90 Arabica C 1,094 1,075 181 156 169.23 Hard Coffee: Robusta Organic 3,237 3,237 117 110 114.80 Unwashed Arabica: Arabica Organic 959 959 150.80 145 148.95 Arabica FAQ 1,079 1,079 133.20 132 132.67
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