Demand for Arabica increases its price #tanzania

TANZANIA'S average arabica coffee prices rose at the
Moshi-based auction last week, buoyed by strong demand
from exporters and higher New York markets, the regulator
Tanzania Coffee Board (TCB) said on Wednesday.
The country is Africa's fourth-largest coffee producer after
Ethiopia, Uganda and Ivory Coast. It produces mainly
arabica and some robusta coffee.
Prices of Tanzania's arabica normally track the New York
market while those of robusta take their cue from London.
TCB said benchmark grade AA arabica sold at auction last
Thursday fetched $232-$294 per bag, up from $226-$285
at the previous week's sale.
Grade A fetched $223.80- $254.00 per bag, up from $
225.20-$247.40. "Overall average prices at the Moshi
exchange were up by $0.62 per 50 kg for mild arabica
compared to the last auction," the board said in its auction
report.
"Average prices were above the terminal market by $10.09
per 50 kg." The TCB said 22,129 bags were offered at the
latest sale and 22,081 bags were purchased.
At the previous auction, 12,132 60-kg bags were offered for
sale and all were sold. East African coffee is normally
packed in 60-kg bags, but the prices are quoted for
quantities of 50 kg.
The coffee regulator says it expects a bumper 2014/15
harvest, with production seen exceeding 55,000 tonnes from
about 48,700 tonnes in the previous season