Mumbai, October 07 (CommoditiesControl): Small cardamom prices have traded marginally lower this week as the harvesting season begins. Despite strong overall demand, the prices saw a slight decline, primarily due to a low influx of buyers who are adopting a hand-to-mouth purchasing strategy.
During today's auction, which took place at only one center, the average price per kilogram for small cardamom ranged between Rs 2,252 and Rs 2,319. This represents a significant drop from the previous session, where the highest price per kilogram peaked at Rs 3,052, now reduced to Rs 2,626.
Local traders have indicated that reduced demand from the Northern markets is exerting downward pressure on prices. However, there is optimism surrounding the upcoming Diwali festival, with expectations of increased demand starting mid-October.
Auction data revealed that arrivals totaled 71,582 kg, a decrease from 118,572 kg in the previous session. The offtake also declined to 69,826 kg from 112,014 kg, reflecting the lower auction volumes. Nevertheless, a high offtake rate of 97.5% was reported, an increase from 94.5% the previous season, indicating a continued interest despite fluctuating prices.
Grade-specific rates remained stable, with bulk grade prices holding within similar ranges. Prices per kilogram for various grades are as follows: grades 7 mm range from Rs 2,200 to Rs 2,280, grades 7-8 mm from Rs 2,420 to Rs 2,550, and grades 8 mm or higher from Rs 2,680 to Rs 2,820.
The outlook for crop yields this season appears concerning. In India, initial harvest yields have suffered due to heavy rains and flooding during critical growth periods. Similarly, production reports from Guatemala indicate a significant decline in crop yield due to adverse weather conditions, including drought and extreme heat. With Guatemala's output projected to be considerably lower, importers are expected to lean heavily on Indian supplies to maintain price stability in the coming months.
As harvesting continues, more arrivals are anticipated, which may temper any sharp price increases despite the expected surge in demand as the holiday season approaches. The spice market remains dynamic, with traders closely monitoring the situation as the festive period draws near.
(By CommoditiesControl Bureau; +91-9820130172)
0 Comments 
Post Comment 
