Tea: Trading
Inside the weekly auctions of Mombasa, Kolkata and Colombo
What this tab covers How and where it is bought and sold: who buys and sells, exchanges and benchmarks, contract types, the big trading houses and how prices are discovered.There is no major futures contract. Prices are set at weekly auctions in Mombasa, Kolkata, Guwahati, Colombo and other centres, where brokers catalogue lots and buyers bid. Radetzki & Wårell explain that auctions suit goods sold in many varied grades, naming tea auctions in East Africa, Kolkata and Colombo. The World Bank price averages the Kolkata, Colombo and Mombasa sales. Large blenders and packers are the main buyers, and some tea also moves through direct private sales outside the auctions.
Where it is bought (buyers)
- Packers (Tata Consumer, Hindustan Unilever, Wagh Bakri and regional blenders) buy at Indian e-auctions and directly from estates
- Pakistani, Egyptian, UK and Gulf buyers bid at Mombasa for Kenyan CTC
- Buyers in the UAE, Iraq, Iran and China raised purchases of Indian tea in 2025 (ITA); Sri Lankan orthodox tea goes largely to the Middle East and Russia
Where it is sold (sellers)
- Indian estates and bought-leaf factories sell through Tea Board auctions (Kolkata, Guwahati, Siliguri, Coonoor, Kochi, Coimbatore) and privately
- Kenyan KTDA and estate factories sell at the Mombasa auction (EATTA)
- Sri Lankan producers sell at the Colombo auction
Exchanges and benchmarks
| Venue | Contract | Notes |
|---|---|---|
| Tea Board e-auction system (India) | catalogued lots by garden and grade, rupees per kg | main Indian price discovery; brokers such as J. Thomas catalogue and sell lots |
| Mombasa Tea Auction (EATTA) | weekly auction, US dollars per kg | sets prices for East African CTC |
| Colombo Tea Auction | weekly auction, Sri Lankan rupees per kg | orthodox Ceylon tea benchmark |
| No futures | none | there is no active tea futures contract; MCX and NCDEX do not list tea |
Contract types
- Auction purchases through registered brokers
- Private (ex-garden) sales to packers and exporters
- Forward contracts between estates and large blenders
Top trading houses
- J. Thomas & Co (auction broker)
- Tata Consumer Products
- LIPTON Teas and Infusions
How prices are discovered
- Weekly auction averages from the Tea Board, EATTA and Colombo
- World Bank Pink Sheet three-auction average
- Tea Biz weekly Tea Price Report