The Federation Of Indian Spice Stockholders (FISS) organized the annual event, which reported that 2022 is the second consecutive year for the decreased Cumin production in India.
Factors That Will Increase The Price Of Cumin
According to FISS experts, spice production has witnessed a constant increase between 2016 and 2020.
A panel discussion held on Cumin and its production revealed the following:
| Year | Production Quantity In Bags |
| 2016 | 4.2 million |
| 2020 | 9.7 million |
| 2021 | 8.7 million |
| 2022 | 6.5 million |
The production of the commodity increased with the growth in the sowing area. But now, in Gujarat, the sowing area has decreased, making it 15 percent less productive. As a result, the harvest is 445 kg per hectare. The scenario is the same in Rajasthan, where the production is 11 percent less, with the yield being 436 kg per hectare.
The overall decrease in the sowing is 33.8 percent and 23.7 percent in Gujarat and Rajasthan, respectively. The significance of these two states’ decrease in production is that they combined are the 99 percent producer of Cumin in India. As a result, when they reduce their production, it impacts India’s quantity of Cumin produced.
According to the experts in the FISS, the bags that arrived in Unjha spot markets will be about 2.4 million this year instead of last year’s count, which was between 3,6 and 3,6 million bags. Amidst the decreased number of arrivals, 300 thousand to 4 hundred thousand bags of low-quality cumin seeds will be in the spot market.
In Rajasthan, this year, the arrival will be between 3,2 and 3,5 million, compared to 4,9 million bags arrival last year.
Furthermore, only 3 to 3,5 million bags of old stock are available in the Unjha spot market.
The price may go up to any level for the commodity shortly. According to the panelists, it may reach between $3,51 and $4,03 per kg.
Current Scenario
On Monday, with the increase in the arrival of the new cumin seeds, the market experienced a downward trend. There has been a decrease in buying activity among stockists and traders since the new crop has moisture content and less availability of the old stock.
Farmers are also holding on to their stocks, expecting improved prices in the coming days.
The new crop with less moisture will be available within the next fortnight.
In Rajasthan, the new crop’s arrival has increased this month.
Prediction
In the next few days, with the increase in the arrival of the new crop with improved quality, there may be some correction in the price. However, in the long run, the market for Cumin will remain bullish due to low production against good demand.
Price Trend
Cumin A Grade 99% Pure
| Date | Price |
| March 7 | $2,80 per kg FOB |
| March 3 | $2,81 per kg FOB |
| March 2 | $2,79 per kg FOB |
| March 1 | $2,77 per kg FOB |
| February 28 | $2,74 per kg FOB |
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