The Average FOB Prices of Tea Exports in Different Countries

FOB price is the price of a product at the point of origin, excluding the cost of transportation and insurance to the destination. It reflects the value of the product itself, without considering the additional costs incurred by the exporter or importer. FOB price is often used as a benchmark for comparing the competitiveness and profitability of tea exports in different countries.

According to the data you provided, the average FOB prices of tea exports in 2020 for some selected countries are as follows:

As we can see from the table, there is a significant variation in the average FOB prices of tea exports among different countries, depending on the type, quality, quantity, and destination of tea. For example, Japan had the highest average FOB price of tea exports, reaching 28.88 US dollars per kilogram, followed by China with 5.84 US dollars per kilogram. These two countries mainly export green tea, which is more valued by consumers for its health benefits and special flavor. Argentina had the lowest average FOB price of 1.14 US dollars per kilogram, as it mainly exports low-quality black tea to neighboring countries.

On the other hand, some major tea exporting countries had moderate average FOB prices, such as India with 3.27 US dollars per kilogram, Sri Lanka with 4.64 US dollars per kilogram, and Kenya with 2.17 US dollars per kilogram. These countries mainly export black tea, which is more common and competitive in the global market. Moreover, their tea production and export volumes are much higher than those of Japan and China, which may result in lower prices due to economies of scale and market saturation.

The average FOB prices of tea exports are also influenced by other factors, such as supply and demand, exchange rates, trade policies, and market conditions. For instance, in 2020, the COVID-19 pandemic disrupted the logistics and trade of tea, causing lower prices for some exporters due to oversupply and reduced demand. In 2021, however, the prices rebounded as the demand recovered and some supply shortages occurred. Furthermore, the political and economic situations in some tea producing and consuming countries may also affect the prices. For example, the conflict between Russia and Ukraine may have a negative impact on the tea trade between these countries and their main suppliers.