Fenugreek's Languid Dance: Export Slumber Spurs Price Slump in India

Fenugreek’s Price Puzzle: Why Costs are Climbing Despite Lower Arrivals The Factors Behind Fenugreek's Soaring Prices and Production

Mintec Global
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Price Surge Due to Reduced Arrivals

Fenugreek prices are rising due to a decrease in daily arrivals in major producing states like Gujarat, Rajasthan, and Madhya Pradesh. Last week, prices rose by $1,20-$2,40 per kg. Sources suggest a further increase in prices due to reduced arrivals at production centers and increased purchases from pickle manufacturers. It is estimated that the price of fenugreek may increase by $3,60-$6,00 in the coming days. Currently, the average quality fenugreek price in production centers’ markets is quoted at $0,60-$0,67 per kg.

Production Challenges and Market Impact

Fenugreek production in the country has been weak this season. However, due to a good arrival of new goods in the markets of producing centers, prices have not risen significantly. According to reports, fenugreek production in the major producing state of Madhya Pradesh this year was 8.90 million bags, slightly lower than last year’s production of 8.99 million bags (each bag weighing 100 kg).

In contrast, fenugreek production in Rajasthan has increased slightly compared to last year, with this year’s production at 5.23 million bags. The most significant production decrease has been in Gujarat. This is because farmers in Gujarat have sown more cumin, isabgol, and fennel, leading to less fenugreek cultivation. Gujarat’s fenugreek production this year is reported to be 2.46 million bags, down from 3.39 million bags last year. The arrival of fenugreek in Neemuch Mandi, a major market in Madhya Pradesh, has reduced to 3500 bags, Javra to 2000 bags, and Mandsaur to 1000 bags. In Rajasthan’s Kota market, the arrival has started at 2500-3000 bags, and Naukha at 2500-3000 bags. Currently, the arrival in Rajkot is 700-750 bags.

Export Trends and Future Outlook

Fenugreek exports during the first 11 months of the current season, from April 2023 to March 2024, have been recorded at 24936 tonnes. This is lower than the export of 30688 tonnes during April 2022 to February 2023. The decrease in production and arrivals has impacted the market, leading to a rise in prices. As the trend continues, fenugreek prices are likely to remain elevated in the near future.