Black Pepper Prices Likely to Stay Firm Amid Production Concerns

09-Apr-2025 04:44 PM

Kochi: Black pepper prices are expected to remain strong due to fears of a sharp fall in domestic production caused by unfavourable weather in top-producing states Karnataka and Kerala.

In Karnataka, the crop condition is reportedly poor, and production may drop by 30–45.5% compared to last year. Kerala’s production may also decline by 15–20%.

Limited arrivals and strong demand have already pushed Kochi market prices to Rs 740–750 per kg. With lower previous stocks and weak crop prospects, market analysts expect firm prices and increased imports from Sri Lanka, Vietnam, and other countries like Indonesia and Brazil.

In anticipation, stockists and exporters are actively building reserves. Meanwhile, spice manufacturers are showing strong buying interest, supported by robust global demand for spice oil and oleoresin.

India’s black pepper exports rose by 23% to 15,321 tonnes during April–December 2024, with export earnings jumping 45% to Rs 741.26 crore, according to Spice Board data.