Due to good arrival of new goods, the possibility of a sharp rise in cardamom is less

28-Oct-2024 05:39 PM

Kochi. Due to adverse weather affecting the crop, the production of small cardamom is expected to decrease by 35-40 percent this year and its plucking and preparation also started late, but still the prices could not increase as expected.

The festive demand has almost ended while the supply of new goods has started increasing. As a result, there is very little possibility of a sharp rise in the price of cardamom in the near future, but there is also no possibility of the price going down because firstly there is the wedding season ahead and secondly, good demand is expected during Ramzan in Muslim countries.

Apart from this, the price of cardamom from Guatemala has increased while its quality is somewhat less than that of India. Guatemala is the largest producer and exporter of small cardamom in the world while India is at number two.

There is a strong competition between these two countries for the export of cardamom to the Gulf countries. Being relatively cheap gives Guatemala a good opportunity to increase its cardamom exports but Indian cardamom lags behind in this.

Auction centres are getting good supply of cardamom. In an expected auction yesterday, a little more than 64 tonnes of cardamom arrived and its average price was recorded at Rs 2322 per kg which was much higher than the average price of Rs 2259 per kg in the previous auction.

According to experts, the supply pressure may remain for some time and prices may remain fairly stable with limited fluctuations.

If the export demand improves during the coming months, its prices may increase somewhat. If the export demand improves during the coming months, its prices may increase somewhat.

This time the weather was not favorable for the cardamom crop in Kerala. First the crop was affected by severe heat and lack of rain, while later storms and rain damaged it.