Business Standard

Cardamom production to go up

Related News

The production of cardamom is expected to increase 10-12 per cent this year. It is expected to be 13,000-13,500 tonnes compared to 12,000 tonnes last year.

Last year, higher prices had prompted farmers to go for more crop.

While higher production might have had a dampening effect on prices, a major factor that can keep prices under pressure is the high carryover stock.

"This year, the total carryover stock for cardamom is around 2,000 tonnes," said Moolraj Ruparel, a Mumbai-based exporter. The total carryover stock last year was almost zero. This year, daily arrivals at the auction held by the in Kochi was 25 to 26 tonnes, unusually higher for this time of the year.

The are expecting prices of new crop to be lower at Rs 650-700 a kg due to better crop condition when arrivals reach their peak. The spot price of old crop is currently at Rs 800-900 a kg and is exported at $19-27 a kg. This has caused stockists to bring their old stocks to the as prices are expected to fall further. Also, it is not possible to store cardamom for more than nine months which has also caused stockists to enter the spot market. In Mumbai, the price of average quality cardamom is Rs 920-940 a kg.

The arrival of the new cardamom crop is expected to start early this season. This was mainly due to forecasts of timely monsoon in the southern region along with some showers in the major producing areas during the capsule formation period (March To April).

Read more on:   
|
|
|

Cardamom production to go up

The production of cardamom is expected to increase 10-12 per cent this year. It is expected to be 13,000-13,500 tonnes compared to 12,000 tonnes last year.

The production of cardamom is expected to increase 10-12 per cent this year. It is expected to be 13,000-13,500 tonnes compared to 12,000 tonnes last year.

Last year, higher prices had prompted farmers to go for more crop.

While higher production might have had a dampening effect on prices, a major factor that can keep prices under pressure is the high carryover stock.

"This year, the total carryover stock for cardamom is around 2,000 tonnes," said Moolraj Ruparel, a Mumbai-based exporter. The total carryover stock last year was almost zero. This year, daily arrivals at the auction held by the in Kochi was 25 to 26 tonnes, unusually higher for this time of the year.

The are expecting prices of new crop to be lower at Rs 650-700 a kg due to better crop condition when arrivals reach their peak. The spot price of old crop is currently at Rs 800-900 a kg and is exported at $19-27 a kg. This has caused stockists to bring their old stocks to the as prices are expected to fall further. Also, it is not possible to store cardamom for more than nine months which has also caused stockists to enter the spot market. In Mumbai, the price of average quality cardamom is Rs 920-940 a kg.

The arrival of the new cardamom crop is expected to start early this season. This was mainly due to forecasts of timely monsoon in the southern region along with some showers in the major producing areas during the capsule formation period (March To April).

image

Read More

Turmeric extends gains on pick up in demand

Turmeric futures for April added Rs 28, or 0.44% to Rs 6,336 per quintal in 27,780 lots

Recommended for you

Quick Links

Market News

Nickel rises by 0.1% on Asian cues

Traders strengthened positions amid a firming Asian cues

Oil prices rise further in Asia

Expectations of a decline in US crude inventories and robust economic data from the eurozone helped prices

Markets remain rangebound; HUL up over 2%, Hindalco dips 1%

Investors are optimistic about a possible solution between Greece and its international creditors to avert a debt crisis

Pharma shares in focus; Aurobindo Pharma hits new high

JB Chemicals, Alembic Pharma, Aurobindo Pharma, Ipca Laboratories and Dishman Pharma were up 3%-11% each.

Infinite Computer gains on board approval for share buyback proposal

The stock spurted 5% at Rs 171 after the board approved the buyback of shares at a maximum price of Rs 220 per share from the open market ...

 

Back to Top