As imported coriander surges into the market, a price dip loom on the September horizon—factors such as declining coriander imports and impending futures expiry point towards this imminent price shift.
Coriander, previously buoyed by speculators riding the waves of turmeric and cumin’s success, now faces a changing tide. Demand and supply dynamics forecast a downturn in prices. Gujarat’s coriander abundance is at odds with the lackluster demand. Despite daily yields of 20 to 25 thousand tons, a fraction reaches export markets due to a demand deficit.
As imported coriander inches closer to Indian shores and coriander futures near expiry, a new dynamic emerges. Coriander stocks stored in demat accounts are set to flood the market. Price disparities make Madhya Pradesh and Rajasthan’s Coriander more attractive outside Gujarat. This regional shift showcases the complex interplay of geography in the market.
A tidal wave of 8 to 10 million tons of imported Coriander is poised to inundate the Indian market from September to October. This influx will undoubtedly shape Coriander’s pricing landscape. Coriander’s export trade grapples with an unexpected challenge – dampness levels soaring to 11% due to rain. This moisture-induced setback casts a shadow on the market’s recovery.
Coriander’s demand has dwindled across regions. Southern centres opting for cheaper Madhya Pradesh and Rajasthan coriander highlight the market’s current flux. Predictions suggest a decline in coriander prices by September 15. However, a subsequent demand surge may propel prices to rise by Diwali. With demand dwindling, a price drop is on the horizon for the next two months. Yet, a resurgence in December might paint a brighter picture for the coriander market.