The white sesame market is grappling with a troublesome scenario as local demand fails to meet expectations, leading to a continuous surge in sales.
China’s lethargic demand
Amidst a surplus period for white sesame, the local market’s demand shows a lacklustre performance, resulting in a sustained climb in sales. The current crop estimate for white sesame hovers around one and a half to two lakh tonnes, with notable variations in groundnut and sesame cultivation across different regions. Internationally, the story is no different. China’s lethargic demand for sesame has cast its shadow on the global market, causing prices to dip due to currency fluctuations and a dwindling economy. Sudan’s crop situation remains uncertain, casting doubt on the supply chain. While India has shown interest in importing sesame from Sudan, concrete deals are yet to be finalized.
Brazillian sesame to enter Indian market soon
Brazil, a key player, is projected to yield 75 to 80 thousand tons of sesame. The logistical aspect remains under control, and we can anticipate Brazilian sesame’s entry into the Indian market soon. Conversely, Pakistan’s second sesame crop has commenced without any reports of crop losses. The international market reflects Pakistan’s sesame valued at $1760 per ton, while Indian sesame commands a price of $2050 per ton. Furthermore, a fresh Korean tender is anticipated by September’s end, following a reduction in the previous tender. However, the outcome of this upcoming tender remains undecided.
Conclusion
The white sesame market grapples with diverse challenges. While local and international dynamics play their part, the Indian market braces for further adjustments amidst these shifting trends. Recent days have witnessed a downturn, and the spectre of an additional drop looms in the near term. This price slide amplifies pressure on those holding sesame stocks, invoking a sense of urgency.
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