Black pepper prices likely to rise due to festive demand and shortage of stock

01-Oct-2024 08:43 PM

Kochi. The arrival of the new crop of black pepper is still three months away, while domestic and export demand is seen to be strong.

The weather has gradually started clearing up in major producing states like Karnataka and Kerala, but there may be rain there in the returning phase of monsoon.

The condition of the crop is said to be normal at present. The weather of October-November can prove to be decisive for the black pepper crop.

It is worth noting that the north-east monsoon remains active in South India from October to December, due to which there is good rainfall there during winter.

Black pepper is being imported from Kerala and Karnataka in North India, which also includes goods imported from abroad. Black pepper is being imported from Sri Lanka and Vietnam and some other countries.

It is understood that Disawari traders are now giving priority to buying black pepper directly from the producers' homes rather than from auction centers. As a result, the arrival of goods in other markets including Kochi is decreasing a lot.

The data of the Spices Board shows that during the first quarter of the current financial year i.e. April-June 2024, 4750.25 tonnes of black pepper was exported from the country, which earned an income of Rs 216.22 crore.

In comparison, during April-June 2023, 4174.56 tonnes of black pepper worth Rs 168.68 crore was exported. The price of black pepper is expected to remain strong in the coming time as its domestic demand is likely to increase after the end of Shradh (Pitar) Paksha.

After that the time of Lagnasara will start and then the winter season will begin. It is expected that the export performance of black pepper will also be better.

It seems difficult to create an environment of softening of prices until the strong supply of new crop starts.