Star Anise Prices Steady as Vietnam–India Trade Flows Stay Firm

Star anise prices for both Vietnam and India are flat week‑on‑week, with modest easing from April highs and no sign of an imminent rally. Export flows from Vietnam to India remain robust, keeping the market well supplied despite softer year‑on‑year export values. The spot market for star anise is currently characterised by stability rather than momentum. Vietnamese FOB Hanoi offers for both conventional and organic grades are unchanged compared with last week, while Indian organic FOB New Delhi indications also show no movement. Recent Vietnamese statistics confirm India’s continued dominance as the main destination for star anise exports, suggesting that trade channels are functioning smoothly despite a weaker global spice complex. Weather in both key producing regions is seasonally hot to very hot but not yet disruptive, pointing to a short‑term sideways price bias.

Prices & Recent Moves

All prices converted to EUR at an indicative 1 USD = 0.92 EUR and rounded.

Indicative wholesale data suggest that Vietnam’s broader anise export price band (all qualities) is currently in the region of EUR 2.65–3.65/kg, implying a significant premium for higher‑grade export‑oriented lots reflected in the offers above.

Supply, Demand & Trade Flows

Fresh trade statistics from Vietnam confirm strong bilateral flows into India. In May (latest published month), Vietnam exported 1,560 tonnes of star anise worth about 7.2 million USD, with India absorbing 61% of that volume (951 tonnes). This reinforces India’s role as the core demand anchor for Vietnamese anise.

For the first five months of the current marketing year, Vietnam shipped 5,475 tonnes of star anise, down 14.7% in volume and nearly 30% in value versus the previous year. India still accounted for 3,360 tonnes over that period, far ahead of the US and Bangladesh. The volume decline together with weaker export receipts suggests that global demand has cooled from last year’s highs, reducing upside pressure on prices even though Vietnam remains the world’s second‑largest star anise exporter.

In India, the broader spice complex remains firm but not overheated, with strong pricing particularly evident in cardamom auctions and futures. Recent auction data and exchange prices show elevated cardamom levels and active participation, indicating healthy downstream demand for aromatic spices in general. However, there is no specific evidence of acute tightness in star anise itself, and Vietnam’s regular shipments into India appear to be preventing any significant supply squeeze.

Fundamentals & Weather Watch

Vietnam (Hanoi and northern growing areas) are moving into a typical pre‑monsoon pattern. Over the next three days (10–12 May 2026), forecasts point to mainly cloudy conditions with scattered showers and a rising temperature trend from about 30°C to 33°C, accompanied by intermittent thunderstorms. This is seasonally normal and supportive for tree crops, with no immediate impact expected on harvest logistics.

India (New Delhi and northern consumption / trading hubs) is facing very warm to hot and hazy weather, with maximum temperatures around 37–41°C and poor air quality over the coming three days. While such heat can accelerate maturation and stress some spice crops, for star anise—largely sourced via imports from Vietnam—this mainly affects domestic logistics and storage conditions rather than primary production.

Sector‑wide, the global spice complex is broadly steady to firm: cumin, coriander, chilli and cardamom markets show resilience despite pockets of softer demand, and exporters in India are generally managing tight but not critical supplies. This backdrop underpins the current flat pricing in star anise; fundamentals are balanced rather than bullish.

Short‑Term Outlook & Trading Guidance

• Price bias (next 1–2 weeks): Sideways for both Vietnam FOB and India FOB star anise, with a slight downward tilt possible if export demand remains subdued relative to last year’s levels.
• For importers / industrial users: Consider covering near‑term needs (1–2 months) at current levels, as stable offers and comfortable flows from Vietnam into India reduce the risk of a sudden spike, while quality premiums for top grades remain pronounced.
• For exporters in Vietnam: With India still the dominant buyer but overall export value down year‑on‑year, be prepared for selective price negotiations, especially on larger lots, but avoid aggressive discounting unless stocks build further.
• For Indian traders: Monitor cross‑commodity signals from cardamom and other high‑value spices; if those markets stay firm and festival‑driven demand picks up later, upside risk for star anise could re‑emerge in Q3.

3‑Day Regional Price Indication (Directional)

• Hanoi, Vietnam (FOB, export‑grade star anise): Prices expected to stay broadly unchanged over the next three days, with any moves likely confined to a very narrow range given normal weather and steady shipments.
• New Delhi, India (FOB, imported / re‑exported star anise): Domestic market to remain stable in local currency; in EUR terms, only minor FX‑driven noise is likely, with no fundamental driver for a sharp move through mid‑week.