Weekly Review-Turmeric
12-Oct-2024 02:47 PM
Turmeric prices fall: spot trade low
New Delhi. Turmeric prices remained sluggish during the current week. Spot and export trade remained low due to increased arrival of dark goods at the mandis of production centers. Prices were also quoted sluggish in the futures market. Turmeric futures for the month of October opened at Rs. 13300 at the beginning of the week and closed at Rs. 12850 at the end of the week. Futures for the month of December opened at Rs. 13700 and closed at Rs. 13552 at the end of the week.
Fall in prices
Due to sluggish news of futures and weak demand in spot, prices of turmeric were quoted sluggish by Rs. 200/300 per quintal at the mandis of production centers as well as consumption centers. The price of turmeric finger in Nanded mandi opened at Rs. 13500/14500 at the beginning of the week, which was quoted at Rs. 13200/14200 at the end of the week. Turmeric prices were down by Rs 200 in Basmatnagar market as well. Turmeric prices were down by Rs 100/200 in Delhi market as well due to the news of sluggishness from production centres. Currently, there is no buying even at the reduced prices. Knowledgeable sources say that due to high sowing of turmeric this year at production centres and weak exports, there is no possibility of much increase in prices in the near future.
Production will increase
Due to increase in sowing area by 30/35 percent in major turmeric producing states Maharashtra, Telangana, Tamil Nadu, the upcoming crop will be more than last year. Till now the weather has remained favorable for the crop. However, due to the rains in the past few days, turmeric crop in some areas had suffered 5/10 percent damage, which happens every year. Sources say that if the weather remains favorable for the crop in the coming days as well, then the upcoming crop will definitely be 80/82 lakh bags. Whereas last year the production was 45/50 lakh bags. It is worth mentioning that although the production was less last year, the supply of turmeric remained the same due to the outstanding stock of about 35/38 lakh bags, but the stock will almost end for the year 2025. Due to which the prices of turmeric are expected to remain good during the upcoming season. Market sources say that due to the considerable decrease in the prices of turmeric, prices are expected to rise once again in the coming days. Because apart from the shortage of stock, the arrival of new crop will start in the month of January.
Production Estimate
Informed sources say that if the weather remains favorable for the crop in the coming days, then the production of turmeric on the Marathwada line of Maharashtra is likely to be 35/38 lakh bags and the production on the Sangli line is also likely to be 9/10 lakh bags. Production in Tamil Nadu is being forecast to be 10/12 lakh bags. Production in Telangana is likely to be 15/17 lakh bags. The production estimate in Andhra Pradesh and other areas is being made to be 4/6 lakh bags.
Exports reduced
In the first four months of the current financial year 2024-25, April-July 2024, the export of turmeric was 61609.83 tonnes. Whereas in April-July 2023 last year, the export was 71616.73 tonnes. Although there has been a decline of 14 percent in exports, but due to high prices, a spectacular increase of 53 percent was registered in the income. During the first four months of the current season, the income received from turmeric exports has been Rs 1011.60 crore, whereas in the same period last year, an income of Rs 659.92 crore was received from the exports.
Imports reduced
For the last 5 years, a decline in turmeric imports has been recorded. According to the data released by the Spices Board, the import of turmeric was 28580 tonnes in the year 2019-20, which decreased to 25709 tonnes in the year 2020-21 and 24480 tonnes in the year 2021-22. The import was 16769 tonnes in the year 2022-23 and 14638 tonnes in the year 2023-24.