Clove Prices Likely to Increase Due to Costlier Imports in India

Mintec Global
Spread the news!

The new cloves crops are not arriving anytime soon, and the Zanzibar crop will be in the market around October-November. Also, the Madagascar market is not helping the situation with the crop falling. Due to this, the prices have increased significantly in the international markets for spice.

Imports from here have almost stopped due to the poor situation in Sri Lanka. The prices of the goods here are reported to be relatively high also there are not many goods in the market. Madagascar imports have become costly due to higher prices in Indonesia. Madagascar rose by $0,23  to $9,02 per kg in the current month.

Due to the tightness of the rupee in the market, the prices cannot increase. Only old goods are being sold in the spot markets due to the scarcity of money.

In Malaysia and Indonesia also, this time, the crop was less. The loading of goods from the above-producing countries to other importing countries has started, but it is in limited quantities.

There has been some strength in the clove from the low price of the last 15 days. On the other hand, Sri Lanka’s political turmoil has ruined all the trade. Due to this, the importing countries are also not eager to make the purchase.

According to the market experts, new old goods are still lying in the domestic markets. But with low harvest, the prices of new goods are getting higher in Madagascar. Seeing this, traders are buying less of the old goods.

As a result, the importers are also not down-selling the spice after seeing the fall, so now they are looking for further bullish trends in the market for cloves.

The cloves prices were recorded at $9,84 per kg FOB.