Better export opportunities to keep jeera prices firm: JAU study

Jeera price during April and May will continue to be firm as this year export opportunities were better, said a study by Junagadh Agriculture University’s (JAU).

It further estimated that jeera production was expected to be lower by 10% this season.

According to study by department of agricultural economics of JAU, in Gujarat during 2011-12, jeera was grown in 3.74 lakh hectares leading to a production of 2.83 lakh tonnes with a productivity of 760 kg per hectare. Whereas, at country level the production was about 3.42 lakh tonnes, from an area of 5.13 lakh hectares.

But in current year 2012-13 the area under cultivation for jeera in Gujarat is estimated at about 3.34 lakh hectare, which is 10% less due to lack of irrigation. In Rajasthan also jeera production may be less this year.

“Last year at harvest time from March to June, 2012 jeera price remained around Rs 2,400 per 20 kg but from July onwards it started increasing owing to uncertainty of monsoon and now it is prevailing around Rs 2,500 per 20 kg in various markets, which is expected to remain firm, except in coming few weeks when arrivals are at peak. Production may decline by 10% in current year and export opportunities are better”, said Dr Maganlal Dhandhalya, associate research scientist of department of agriculture economics, JAU.

The total arrivals of jeera increased to 45,000 bags from 35,000 bags, while demand was seen around 35,000 bags against 34,000 bags.

Dhandhalya said, “After studying the markets and export scenario, price of jeera would hover in the range of Rs 2,450 to Rs 2,700 per 20 kg during April to May, 2013”

Kedia Commodity said that jeera exports are expected to pick up in coming months amidst lower production reports in Turkey and Syria.

As per JAU study, the export of jeera from India was 45,500 tonnes last year (2011-12), which is expected to increase to level of about 60, 000 tonnes in current year 2012-13. Major competitors for jeera export are Syria and Turkey, but their production comes late in June-July. Indian jeera is exported to countries like US, UK, UAE, Japan, Brazil to name a few.