Jeera exports slump by half during Q1

The cumin seed (jeera) exports for the first three months of the current financial year have dropped drastically to half of their level during the first quarter of the last financial year.

According to Spices Board figures released recently, jeera exports during April-June have touched 4,000 mt as against 8,000 mt during the first three months of the last financial year. Interestingly, the Spices Board has set a target of 25,000 mt as against total exports of 26,000 mt achieved last year.

Although jeera exports have remain dismal for the first quarter, the demand for Indian jeera is expected to surge during the coming months. Turkey and Syria, two other major players in global jeera market, have suffered in terms of quality due to heavy rain and storm in recent times.

According to Girish Brahmbhatt, secretary of Spices and Foodstuff Export Association, the change is likely to push buyers towards India. Brahmbhatt said sudden change in weather in these two leading jeera producing countries has offered Indian exporters an opportunity to push Indian jeera in the global market.

Jeera production during the current year is expected to touch around 7 to 8 lakh bags according to the estimates given by jeera producers in Unjha in north Gujarat and in Rajasthan.

Despite strong production figures, the difference between spot and futures has remained high mainly due to increasing dabba trading activity in jeera.

The Unjha trading community sources said of late the difference in quality of jeera at Jodhpur and in Unjha facility of NCDEX has caused some trouble for the buyers.

The traders are reluctant to take delivery from Jodhpur facility although most traders accept Jeera from NCDEX facility in Unjha, said a trader.

The trading in jeera was also hit recently over the quality of the product which ultimately prompted NCDEX to have new advisory body for the commodity.

Overall the jeera sowing during the upcoming season in two leading jeera producing states Gujarat and Rajasthan is expected to suffer a bit due to heavy and unexpected monsoon rain during August and to a certain extent in early September.

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PRESENT TENSE

Jeera exports during April-June have touched 4,000 mt as against 8,000 mt during the first three months of the last financial year

Demand for Indian jeera is expected to surge during the coming months due to a sudden change in weather in Turkey and Syria, according to Girish Brahmbhatt, secretary of Spices and Foodstuff Export Association