The world of turmeric is like a pot of spice, simmering with predictions and surprises. At the Global Turmeric Conference 2023, it was unveiled that India’s turmeric production might dip to 1.026 million tonnes during the 2023-24 season. Yet, the “golden spice” price could potentially average $1,50 per kg for the next six months.
Delving into the fundamentals, it’s clear that the area under turmeric has shrunk by 11 percent to 0.286 million hectares. Farmers have opted for alternative crops like sugarcane, chilli, and maize, seeking greener pastures. For a commodity, consistency is critical, but turmeric prices have been muted for the past three years, making it a challenging crop for farmers.
Lower cultivation translates to reduced production, expected to plummet to 1.026 million tonnes in the next season. Carryover stocks might decrease this season. However, historically, these stocks still lean on the higher side. El Nino years have seen a 10-15 percent drop in turmeric production, with Telangana, Andhra Pradesh, and Tamil Nadu potentially facing yield challenges due to heavy rainfall forecasts for October-December. Arrivals during February-April witnessed a dip this season as farmers opted to store their produce in cold storage due to lower prices.
Amidst this complex landscape, discussions at the conference emphasized increasing production, developing new varieties through tissue culture, and catering to export markets with pesticide-residue-free produce. Price volatility management and information systems took center stage, with projections suggesting that turmeric prices may not fall.
In a significant turn of events, Prime Minister Narendra Modi made a surprise announcement, declaring the establishment of a National Turmeric Board, a longstanding demand from the sector. Turmeric farmers have yearned for this, and their wishes have been answered. The board aims to bolster turmeric farming from production to export, transforming the landscape for farmers and the entire turmeric value chain.
As India stands at the forefront of turmeric production, consumption, and export, it’s poised for a future spiced with opportunity. With global demand rising and a National Turmeric Board in the works, the golden spice’s journey continues to pique curiosity and appetite.
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