Financial Times

Sri Lankan tea exports to the Middle East and areas under conflict including Lebanon have been unaffected by the crisis contrary to some news reports, industry sources said.

“Of course, if the conflict had gone on there could have been problems, but the dust seems to be settling,” said Mohan Mendis, Chairman, Exporters’ Association of Sri Lanka, explaining the situation and discussing the ceasefire.

Tea prices rose last week but it was due to expected shortfalls from producing countries, especially Kenya, where a drought has been playing havoc with the crop, according to B. A. C. Abaywardena, Chairman of the Tea Board a view similarly echoed by Mendis. Abaywardena said Lebanon was a small buyer of Ceylon tea, so figures would not have been significantly changed as far as exports were concerned. But it’s not all good news for local growers as it seems that even Sri Lanka has helped with the price rise as the harvest is expected to be 5-10 million kilograms short compared to the same period last year.

As for re-branding Ceylon tea, things seem to have taken a back seat. It seems that those talked to have heard nothing since The Sunday Times FT first broached the subject which subsequently saw other industry voices also raise concerns over a change in the current brand. (RI)