The demand for small cardamom is expected to rise after a period of temporary stability, driven by a combination of factors in both domestic and international markets.

The rains in Tamil Nadu and Kerala had initially affected the plucking and preparation of cardamom, disrupting its movement, but the situation is gradually returning to normal.

Despite this, cardamom production is predicted to fall by 30-40% due to natural disasters and adverse weather conditions.

In addition, Guatemala, a major cardamom producer and exporter, is likely to see a significant decline in its production, further affecting global supply.

There is anticipated strong demand for cardamom, particularly in Central Asia, West Asia, and other Muslim-majority countries during Ramadan, which could help support prices.

Domestic demand is also expected to remain robust during this period. However, some downward pressure on prices is currently being observed due to weaker demand from buyers, despite a normal arrival of cardamom at auction centers.

In the latest auction in Kochi, around 54 tonnes of cardamom were sold at an average price of Rs 2950 per kg, a slight dip from the previous auction's average price of Rs 2984 per kg for 76 tonnes.

On a positive note, the export performance of small cardamom has shown improvement in both volume and revenue compared to last year. The Spices Board expects this trend to continue, with further growth anticipated in the first quarter of 2025.