Financial Times FT.com

Tea prices to soar after droughts

By Javier Blas in London

Published: March 30 2009 20:09 | Last updated: March 30 2009 20:09

Tea prices are set to jump to a record high after damage to production in the main exporting countries from simultaneous droughts, the United Nations’ Food and Agriculture Organisation and industry executives have forecast.

Black tea pricesKaison Chang, a tea specialist at the FAO in Rome, said dry weather had led to low yields in India, Kenya and Sri Lanka. “Prices should go up,” he said.

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