Tea Prices in China

China Tea Export Price in August 2022

In August 2022, the tea price stood at $5,760 per ton (FOB, China), picking up by 2.8% against the previous month. Over the period under review, the export price, however, saw a relatively flat trend pattern. The pace of growth was the most pronounced in March 2022 when the average export price increased by 15% month-to-month. The export price peaked at $6,105 per ton in January 2022; however, from February 2022 to August 2022, the export prices stood at a somewhat lower figure.

There were significant differences in the average prices for the major foreign markets. In August 2022, the country with the highest price was Hong Kong SAR ($30.1 per kg), while the average price for exports to Tunisia ($1,446 per ton) was amongst the lowest.

From January 2022 to August 2022, the most notable rate of growth in terms of prices was recorded for supplies to Uzbekistan (+2.7%), while the prices for the other major destinations experienced more modest paces of growth.

China Tea Export Prices by Type

There were significant differences in the average prices for the major types of exported product. In August 2022, the product with the highest price was tea, black; (fermented) and partly fermented tea, in immediate packings of a content not exceeding 3kg ($31.1 per kg), while the average price for exports of tea, green; (not fermented), in immediate packings of a content exceeding 3kg ($4,042 per ton) was amongst the lowest.

From January 2022 to August 2022, the most notable rate of growth in terms of prices was recorded for the following types: tea, black; (fermented) and partly fermented tea, in immediate packings of a content exceeding 3kg (+1.3%), while the prices for the other products experienced a decline.

China Tea Exports

In August 2022, approximately 32K tons of tea were exported from China; which is down by -6.6% against the month before. Overall, exports showed a perceptible downturn. The growth pace was the most rapid in July 2022 when exports increased by 22% m-o-m. Over the period under review, the exports attained the peak figure at 38K tons in January 2022; however, from February 2022 to August 2022, the exports stood at a somewhat lower figure.

In value terms, tea exports fell slightly to $186M (IndexBox estimates) in August 2022. Over the period under review, exports recorded a noticeable shrinkage. The most prominent rate of growth was recorded in March 2022 with an increase of 26% against the previous month. The exports peaked at 230K tons in January 2022; however, from February 2022 to August 2022, the exports remained at a lower figure.

China Tea Exports by Type

Tea, green; (not fermented), in immediate packings of a content exceeding 3kg (18K tons), tea, green; (not fermented), in immediate packings of a content not exceeding 3kg (9.7K tons) and tea, black; (fermented) and partly fermented tea, in immediate packings of a content exceeding 3kg (4.3K tons) were the main products of tea exports from China, together comprising 98% of total exports.

From January 2022 to August 2022, the most notable rate of growth in terms of shipments, amongst the major product types, was attained by tea, black; (fermented) and partly fermented tea, in immediate packings of a content exceeding 3kg (with a CAGR of -0.2%), while the other products experienced a decline.

In value terms, the most traded types of tea in China were tea, green; (not fermented), in immediate packings of a content exceeding 3kg ($71M), tea, green; (not fermented), in immediate packings of a content not exceeding 3kg ($53M) and tea, black; (fermented) and partly fermented tea, in immediate packings of a content exceeding 3kg ($40M), together accounting for 89% of total exports.

Tea, black; (fermented) and partly fermented tea, in immediate packings of a content exceeding 3kg, with a CAGR of +1.1%, recorded the highest growth rate of the value of exports, among the main product categories over the period under review, while shipments for the other products experienced a decline.

China Tea Exports by Country

Morocco (6.5K tons) was the main destination for tea exports from China, accounting for a 20% share of total exports. Moreover, tea exports to Morocco exceeded the volume sent to the second major destination, Ghana (2.2K tons), threefold. Russia (2K tons) ranked third in terms of total exports with a 6.3% share.

From January 2022 to August 2022, the average monthly growth rate of volume to Morocco totaled -3.6%. Exports to the other major destinations recorded the following average monthly rates of exports growth: Ghana (+4.3% per month) and Russia (+4.4% per month).

In value terms, Hong Kong SAR ($32M), Morocco ($22M) and Vietnam ($19M) appeared to be the largest markets for tea exported from China worldwide, together comprising 40% of total exports. These countries were followed by Ghana, Togo, Germany, the United States, Russia, Senegal, Japan, Uzbekistan, Benin and Tunisia, which together accounted for a further 27%.

In terms of the main countries of destination, Tunisia, with a CAGR of +22.6%, saw the highest growth rate of the value of exports, over the period under review, while shipments for the other leaders experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform