The primary spot markets for turmeric were closed on Saturday, but that did not negatively impact the crop prices. Turmeric prices held steady at $1,15 per kg FOB for Turmeric Finger, Salem, Double Polished No.1. For Turmeric Finger Nizamabad, Double Polished Dubai Quality, and Europe Quality, prices remained at $9,96 per kg FOB and $1,05 per kg FOB, respectively.
From Nizamabad, it was reported for October 18; the demand was average. There was an increase in the crop supply on Monday, but that didn’t pull the price down. The increase in supply results from the anticipation that there will be more demand for the spice before and during Diwali.
According to experts, however, the increased production of turmeric compared to last year can pressure the prices in the coming months. It is expected that the production of turmeric will be up by 9.64 per cent for 2022, which is about 489 thousand MT compared to last year’s 446 thousand MT.
However, Andhra Pradesh has sowed less than last year and the typical year. This year the state completed its sowing at 19,376 hectares compared to the average year’s 19,551 hectares and the previous year’s 20,942 hectares. But the overall production of the crop across the country will increase because the weather condition is favourable, and the present crop quality is also reported to be good. Despite the heavy rain, there is no news of any crop damage.
Traders expect that the restriction put on South Asian countries due to COVID-19 will ease in the coming months, which will increase the export demand. Currently, the limits and the increase in freight prices have made the price for turmeric go flat.
The National Commodity and Derivatives Exchange has ended the turmeric future for November delivery at $98.62 per quintal, 1.70 per cent higher than the price settled for an average year.
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