Turmeric arrivals dip in Andhra markets as season ends

Turmeric stocks with traders in Nizamabad market are drying up in markets in one of the major turmeric producing state, Andhra Pradesh.

Arrivals have been steady at the Duggirala market in Guntur but soon dried down. This is mainly because the season started on schedule in Nizambad and got delayed in Guntur due to rain last year. However, turmeric at both markets is fetching about Rs13,000 a quintal.

Turmeric farmers however have made their fortunes this season as they fetched good gains but for the next season they have to rely on volumes to see a repeat of the current season. Reports so far suggest the next season sowing could be 10-15 per cent higher and prices could fall to Rs10,000 a quintal.

In all, the Duggirala market saw 59,740 quintal arrivals as against 63,000 quintal last crop season. The peak arrival was in April (17,894 quintal), with 14,541 quintal arriving in May and 14,882 quintal in June. Traders expect some more arrivals till October.

On the other hand, arrivals at the Nizamabad market have almost dried up now as the season started early due to favourable conditions.

With prices touching new highs this season, many farmers held back stocks anticipating a further rise in the price. However, as the season has come to an end, the prices have normalised at around Rs13,000 a quintal. Farmers kept an additional 100,000 quintal as seed for the next crop.

According to Nizamabad Market Committee secretary Bansilal, there is a 10-15 per cent increase in the sowing area for the next crop. Normally, about 10,000 hectares is under turmeric cultivation in Nizamabad and this has gone up to 11,500 hectares.

In the entire state, the area under turmeric cultivation is 67,500 hectares. Of this, Telangana, including Nizamabad, accounts for over 50,000 hectares and the remaining is in Andhra and Rayalaseema regions, with Duggirala as the key market.

The production in Telangana is around 600,000 quintal and in Andhra-Rayalaseema regions this is 150,000 quintal. For the 2011 crop, the yield is expected to be over 850,000 quintal.