Indian spice complex remain mixed last week, improved buying expected ahead

Mumbai, July 18 (Commoditiescontrol) Spice complex saw a mixed tone last week amid interrupted demand and supply due to rains received in large parts of the country, particularly in south and central India. However, further trend is appearing positive as the demand for major spices from locals as well as the exporters is expected to remain firm. The export demand for some spices like chilli is likely to remain strong in near term. But, the export demand for cumin seed during the current season may remain low as the crop size is very weak this year.

Jeera

Jeera or cumin seed prices were mixed in the physical markets while futures ended lower higher on Friday compared to last week’s closing. As per the trade analysts, jeera may see upsides movement this amid improved demand as the local processors will increase buying ahead of festive season. The export demand for jeera is also expected to remain firm in near term.


Globally, India is the only country which is still in a position to supply cumin to the overseas market. Syria's crop is reported to have come absolutely negligible in the event of drought. Turkey has exited the international cumin market for the last 2 years.

Prices of cumin seed remained weak in the benchmark market of Unjha last week while Rajkot market witnessed firm tone.

Turmeric

Turmeric prices were also mixed last week in the physical market while futures ended a little lower due to weak sentiment last week. There was no change in the prices of turmeric on weekly basis in the markets of Erode and Nizamabad. But, prices were down Rs 100 per quintal at Duggirala while Warangal market witnessed firmer tone last week as the supply remained interrupted due to rain.

Chilli

Chilli prices extended gains last week on strong demand from exporters and locals as well. Indian chilli has attracted good demand in the international market these days, a trade analyst said. Second positive factor for upward movement in prices is the acreage of red chilli is expected to remain lower in the major producing belts as some areas of chilli have shifted to cotton. Besides, pest attack on chilli crop may further affect the production which will support its positive price trend.

Coriander seed

Coriander seed prices were also mixed in the physical markets as per the demand and arrivals of the spice in the market yard as rains and cloudy weather conditions affected the trade activities.

Production of total spices are expected to remain at 109.07 lakh tonnes in 2021-22, as per the second advance estimates released by the Union Agriculture Ministry. The data released on Thursday showed some improvement as compared to first advance estimates but the total production of spices is down by 1.8% from 111.17 lakh tonnes reported in the last season 2020-21.

Area under red chill is 6.94 lakh ha in 2021-22 against 7.02 lakh ha in 2020-21 and production of red chilli is estimated at 18.66 lakh tonnes in 2021-22 against 20.49 lakh tonnes in 2020-21.

Area under coriander is 6.32 lakh ha in 2021-22 against 6.56 lakh ha in 2020-21 and production of coriander seed is estimated at 8.01 lakh tonnes in 2021-22 against 8.91lakh tonnes in 2020-21.

Area under cumin seed is 10.37 lakh ha in 2021-22 against 10.87 lakh ha in 2020-21 and production of cumin seed is estimated at 7.26 lakh tonnes in 2021-22 against 7.95lakh tonnes in 2020-21.

Area under black pepper is 2.88 lakh ha in 2021-22 against 3.09 lakh ha in 2020-21 and production of black pepper is estimated at 0.97 lakh tonnes in 2021-22 against 1.41lakh tonnes in 2020-21.

Area under turmeric is 3.50 lakh ha in 2021-22 against 2.93 lakh ha in 2020-21 and production of turmeric is estimated at 13.31 lakh tonnes in 2021-22 against 11.24lakh tonnes in 2020-21.