The cardamom market experienced a sudden price drop on Wednesday after holding steady in the market.
Market Trend
- It is believed that the increase in crop production from 23,000 MT last year to 27,000 MT this year is causing the prices to get capped.
- With the weather now favorable, the planters and farmers are taking care of the crop and are waiting for the price increase.
- Earlier, there was a report of 10 percent crop damage in Idukki, Kerala, due to the flood caused by the heavy rains in the area.
- The fourth round of picking the pods has started around the end of December’s first week.
- It was reported that the overall arrival of the crop between August 1 and December 27, 2021, was 6,725 tons compared to 2020’s s 7,799 tons during the same period.
- But the overall production of the crop is more since farmers invested in growing more cardamom as it fetched them better price during the last two years.
Prediction
- With the easing of travel bans, one can hope the export demand will pick up, which might help increase the cardamom prices for the future despite the increase in crop production.
- But with the increase in the Omicron variant, the international market is becoming a concern for cardamom exporters once again.
Price Trend
Green Cardamom 8 mm
| Data | Price |
| January 6 | $17,00 per kg FOB |
| January 4 | $17,05 per kg FOB |
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