Rainfall help cardamom production to increase

Futures fell to Rs 953 per kg today as traders reduced holdings on weak demand

Cardamom prices move slightly lower in the light of reports of good rainfall in major producing centers in in Kerala and Tamilnadu.

Good summer shower in the high range area should help in improving production in the next season, which commences by June.

A grower told Business Standard that this would definitely improve production in the initial rounds of harvesting. The rain helps to grow more offshoots on plants that improve  production.

Futures fell to Rs 953 a kg on Tuesday as traders reduced holdings on weak  demand. In the auction trading average price fell to Rs 762/Kg. Since this is off season, the prices are likely to increase, but even best quality spice gets a tag of Rs 970/Kg at the auction centers. This is because of the anticipated rise in production this time.

Reji, an Idukki based farmer said Business Standard  that if the rain continues for the next couple of weeks, it will  improve production to considerable extend. Most of the planted areas got good rain during last two weeks.