Tanzania’s Benchmark Coffee Price Climbs at Auction

Tanzania’s benchmark coffee price increased by 2.6 percent at an auction on Feb. 10, the Tanzania Coffee Board said.

The average price for the top arabica AA rose to $308.22 for a 50-kilogram (110-pound) bag, from $300.53 a week earlier, the board said in an e-mailed statement today. The highest price for the grade fell to $329.40 a bag, compared with a record $339 a bag, as supplies jumped 51 percent to 1,910 bags, it said.

Tanzania reaps its crop from April through August. Arabica accounts for 75 percent of the nation’s output, with robusta making up the rest.

Output in the 12 months through June may surge 54 percent to 55,000 tons because of improved weather, Aldolph Kumburu, the board’s director general, said on Aug. 3.

The following are details of the Feb. 10 auction in U.S. dollars for a 50-kilogram bag:

Grade             Offer   Sold     High     Low      Average
Arabica AA        1,910   1,670    329.40   235.60   308.22
Arabica A         2,085   1,630    311      249.80   286.21
Arabica B         2,240   1,743    312      233      291.48
Arabica PB        882     312      300      234.80   265.63
Arabica C         143     1,066    263.80   234.80   248.27
Arabica FAQ       795     795      147.40   110      127.79
Robusta Over 18   656     656      107.20   104.80   106.12
Robusta Superior  1,200   1,200    106.60   89       102.29
Robusta FAQ       804     804      98.80    87       98.34

(Source: http://www.bloomberg.com/news/2011-02-14/tanzania-s-benchmark-coffee-price-climbs-at-auction-update1-.html)