(Updates with trader comment in third paragraph.)
Dec. 7 (Bloomberg) --Kenya’s coffee prices climbed 21 percent at an auction today as buyers replenished their stocks before the year-end holidays, the Nairobi Coffee Exchange said.
The average price for all the coffee sold rose to $340.95 for a 50-kilogram (110-pound) bag from $280.70 two weeks ago, the exchange said in an e-mail from the capital, Nirobi.
“Buyers are trying to stock as much coffee as possible because this was the second last auction before the break,” Kizito Keya, a coffee trader at Mumba Coffee Ltd., said by phone from Nairobi.
The average price for the benchmark AA grade fell 3 percent to $446.14 a bag from $459.99 at the previous sale after supplies rose 89 percent to 2,623 bags, the agency said. The top grade sold for as much as $480 a bag compared to $537 at the previous sale, it said.
The last auction this year will be held on Dec. 14 and sales will reopen on Jan. 10, according to the exchange.
Sales at the auction climbed 84 percent to 9,732 bags worth $4.1 million from 5,299 bags valued at $1.8 million at the previous auction, the exchange said.
Supplies rose 56 percent to 16,610 bags from 10,616 bags at the previous auction, the agency said.
The country harvests the bulk of its crop from October through December, while a secondary crop is reaped from April to June. The following are details of today’s auction in U.S. dollars for a 50-kilogram bag:
--Editors: Claudia Carpenter, Nicholas Larkin
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