The landscape of the global sesame market has turned unpredictable, with factors ranging from international conflicts to erratic weather conditions profoundly impacting crop yields, trade dynamics, and market prices.
Over the past month, the demand for white sesame has significantly declined, dropping shortcake prices. Forecasts suggest that the sluggish demand for white sesame will continue for the following month. Across the international spectrum, sesame prices in Pakistan hover between $1700 and $1720 per ton, while countries like Tanzania, Mozambique, and Brazil have completed their crop cycles. China, a significant sesame consumer, faces challenges as its economy experiences a steady decline. A volatile Chinese currency and economic weaknesses contribute to diminishing demand for sesame.
The prospects of Sudan’s regular sesame seed supply, which traditionally amounts to 2,50,000 to 300,000 tonnes, are still being determined. Ongoing civil conflicts and logistical challenges hinder both planting and shipments in the region. Similarly, Nigeria’s strife-torn environment poses uncertainties in crop documentation and market accessibility, raising doubts about whether the estimated 0.2 to 0.25 million tonnes of crops will reach the market.
Adverse weather conditions
In India, the future of the sesame crop is shrouded in uncertainty. Rajasthan’s month-long dry spell and decreased sowing in Uttar Pradesh and Madhya Pradesh project a national crop estimate of 0.150 to 0.175 lakh tonnes. Adverse weather conditions threaten to reduce yields further if rainfall does not materialize. With Sudan’s and Brazil’s sesame shipments in question, India’s annual demand of 2.25 to 2.50 million tonnes needs more. Importing seeds to bridge the gap is complicated by shipment disruptions in Sudan and quality issues in Brazil. Meeting the nation’s sesame demand is a complex endeavour.
While various factors have made the global sesame market uncertain, industry players must closely monitor developments in key producing regions. Market players prepare for potential price hikes and shortages while navigating the complex global factors influencing sesame trade and production.