Weekly Review-Turmeric

22-Jun-2024 08:44 PM

Turmeric prices higher than last year: Sowing will increase at production centers

New Delhi. During the current week, turmeric prices were quoted softly in the markets of production centers as well as consumption centers and futures market. Although the stock of turmeric is considered weak at production centers, but due to the news of increased sowing at production centers, the lifting of turmeric in the spot market has remained very low. Due to which the market is trending low. But sources believe that with the increase in demand in the coming days, prices will definitely increase.

Higher prices

At present, the price of turmeric is being quoted more than double in the markets of production centers as compared to last year. It is worth mentioning that due to low production last year, the prices of turmeric remain strong. It is noteworthy that at the end of June last year, the price of turmeric bundle in Erode market was Rs. 6400/6700 and the price of pod was Rs. 7000/7200 whereas currently the price of bundle is being quoted at Rs. 15700/15800 and the price of pod is Rs. 16500/16800. In the markets of other production centers also, the price of turmeric remained high as compared to last year. Currently, the price of turmeric single polish bundle in Delhi market is Rs. 17400/17500 whereas last year during the same period the price was Rs. 8700/8800. Currently, the price of turmeric is being quoted with a slowdown but the prices should improve from the end of July or August.

Futures Market

During the current week, the price of turmeric was also quoted with a slowdown in the futures market. In the futures market, the price of turmeric in June opened at Rs. 18096 and closed at Rs. 17376, while the price of turmeric in the month of August opened at Rs. 18314 at the beginning of the week, which closed at Rs. 18168 at the end of the week.

Sowing Estimate

Informed sources say that due to the producers getting a fair price for their produce, turmeric will definitely be sown in all the producing states this year. There is news of turmeric sowing on the Erode line being double compared to last year, while in Maharashtra, Telangana, Andhra Pradesh, sowing is being estimated to be 30/35 percent compared to last year. According to an estimate, last year, turmeric was sown on about 3/3.25 lakh hectares in the country, which is being estimated to increase to 3.75/4 lakh hectares this year.

Estimation of rise
Reliable sources say that last year, apart from the low sowing in the country, the weather was also unfavorable for the crop, due to which the production of turmeric in the year 2024 is estimated to be 45/50 lakh bags, apart from this there was also an outstanding stock of 35/38 lakh bags. Which stock will be zero in the year 2025. Sources say that even after the increase in sowing during the current season, the upcoming turmeric crop will be around 70/75 lakh bags. While the outstanding stock will be zero. Due to which the availability of turmeric during the year 2025 will be less than the consumption. It is worth mentioning that during the year 2023, apart from the production of turmeric in the country being 80/85 lakh bags, the outstanding stock was also 25/30 lakh bags. In the year 2022, the production was 75/80 lakh bags. Stock

Traders believe that at present the stock of turmeric is being estimated to be 38/40 lakh bags at the consumption centers as well as the mandis of the producing centers. According to an estimate, the current stock in the major producing state Marathwada (Basmatnagar, Nanded, Hingoli) is reported to be 14/15 lakh bags, Sangli 4 lakh bags. Erode is believed to have a stock of 5 lakh bags, Nizamabad 4 lakh bags. Apart from this, the stock is being estimated to be 15/16 lakh bags in Andhra Pradesh and consumption centers.

Export
Turmeric export has been affected due to high prices. According to the data released by the Spices Board, during the year 2023-24 (April-March), the export of turmeric was 162019 tonnes, whereas in the year 2022-23 the export was 170094 tonnes. Turmeric exports have also decreased during the month of April of the current financial year 2024-25. According to the information received, turmeric exports during April-2023 were 1959087 tonnes, which has come down to 14109.09 tonnes in April 2024.