Black Pepper- Market to remain Calm as Supply And Demand is Balanced

11-Jun-2025 05:26 PM

New Delhi. Both the major producing states—Karnataka and Kerala—are seeing a steady inflow of black pepper, and with normal trading activity, its price has remained stable with only minor fluctuations. During the last financial year, there was a notable increase in black pepper exports, and the outlook for the current year is also expected to be satisfactory. Tamil Nadu, along with Karnataka and Kerala, received good pre-monsoon rainfall, and the early southwest monsoon is likely to support black pepper crop development.

With weather conditions improving after the rains, the supply of black pepper is expected to rise. Meanwhile, sporadic plucking and crop preparation have begun in Sri Lanka, and imports from there are likely to increase in the coming months. The major arrivals of new black pepper in Kerala will start around December-January, which is still several months away. Currently, Mercara pepper is arriving in Karnataka’s Sagar Line region. Although the weather was not entirely favourable last year, causing a dip in domestic production for the 2024-25 season, the presence of carry-over stock ensured no major supply shortage or sharp price rise.

There is minimal arrival of black pepper in the Kochi terminal market, resulting in only indicative pricing. Direct dealings between producers and buyers are also limiting arrivals in key markets. The price of black pepper in Kochi is currently reported at Rs 670–685 per kg. A major increase or decrease in prices appears unlikely.

According to Spices Board data, black pepper exports from India rose from 17,890 tonnes in 2023-24 to 20,830 tonnes in 2024-25, while the export value increased significantly from Rs 736.48 crore to Rs 1,055 crore. If imports from Sri Lanka are successfully regulated, there could be some upward pressure on domestic black pepper prices.