Arabica coffee sees good demand

The Indian Coffee Trade Association (ICTA) auction on Thursday saw small volumes of the 2005-06 coffee season washed Arabicas on offer. The auction witnessed good internal demand on all varieties with prices appreciating in line with the market.

According to auctioneer Carritt Moran and Company, roasters do not have enough coverage to meet immediate needs, and coffee at origin is expensive.

Further Brazil's reduced 2005-06 harvest and smaller crops in Central America after the recent hurricanes indicate tightness and higher prices in early 2006, predict a few traders.

The London Robusta market is underpinned by slow, new-crop movement out of Vietnam after a wet December delayed harvesting.

At the ICTA auction, of the 261 tonne offered for sale (last week 250 tonne) 89 tonne were sold (last week 64 tonne). Arabica comprised 160 tonne (last week 151 tonne), Robusta 101 tonne (last week 99 tonne).

The prices quoted for grades in Rs/50kg are as follows. Arabica varieties: (all season 2005-06) Arabica Parchment PB Rs 4746 (quantity sold 6,044 kg), Arabica Parchment AA Rs 5,197 (3,101 kg), Arabica Parchment A Rs 5,074 (8,893 kg), Arabica Parchment B Rs 4,954 (5,799 kg), Arabica Parchment C Rs 4,493 (6,177 kg), Arabica Parchment BBB Rs 3,405 (5,005 kg), Arabica Cherry AB Rs 4,300 (12,000 kg), Arabica Cherry C Rs 3,300 (1,224 kg) and Arabica cherry BBB Rs 2,800 kg (90 kg).

Robusta varieties: Robusta Parchment PB Rs 3,055 (7,697 kg), Robusta Parchment AA Rs 3,209 (10,580 kg), Robusta Parchment AB Rs 3,150 (8,534 kg), Robusta Parchment C Rs 2,867 (2,479 kg), Robusta Parchment BBB Rs 2,809 (4,321 kg).