Compared to last month’s performance of cumin seed in the market, which underwent quite a few drops in the price, the crop is doing good amidst the steady demand this month.
All the varieties Cumin A Grade 99% Pure, Cumin A Grade 98% Pure, Cumin FAQ 99% Pure, and Cumin FAQ 98% Pure have experienced a steady price growth apart from a couple of times. However, on the first market day of the month, i.e., on October 4, all the varieties experienced a price drop.
Cumin A Grade 99% Pure decreased from $2,07 per kg FOB to $2,02 per kg FOB, Cumin A Grade 98% Pure’s price fell to $1,95 per kg FOB from the previous month’s price of $2,00 per kg FOB. Similarly, Cumin FAQ 99% Pure and Cumin FAQ 98% Pure experienced. Price slump from $1,99 per kg FOB to $1,94 per kg FOB and $1,65 per kg FOB to $1,91 per kg FOB, respectively.
The main reason for the price drop was because of less demand for the crop during the time. However, despite the decrease in the price, the market did not see any increase in the activity because the farmers were not interested in selling their crops at a lower price. However, it soon changed since the news of reduced crop production for the market year 2021-2022 was reported. There has also been news that most of the sowing Cumin areas are being used for planting crops like Soybean, Coriander, Fennel, Groundnut, and Ajwain since they are believed to fetch higher prices in the market. For the last few years and even this year, Cumin prices have fallen, and the farmers are not getting the expected price for their crop.
Since then, all these four varieties of Cumin had a good run in the market with two consecutive day increases, i.e., on October 11 and 12. On the 11th, the price of Cumin A Grade 99% Pure increased to $2,03 per kg FOB and then on the 12th to $2,05 per kg FOB. Likewise, Cumin A Grade 98% Pure trended upward at $1,96 per kg FOB then to $1,98 per kg FOB, while Cumin FAQ 99% Pure increased to $1,95 per kg FOB on 12th from $1,94 per kg FOB on 11th. The price trend was the same for Cumin FAQ 98% Pure, which recorded $1,91 per kg FOB on 11th and then $1,92 per kg FOB on 12th.
For the rest of the month, the prices remained stable until October 25, when there was a slight price drop in the Cumin A Grade 99% Pure, Cumin A Grade 98% Pure varieties. Each variety recorded its price at Cumin A Grade 99% Pure $2,03 per kg FOB and Cumin A Grade 98% Pure at $1,96 per kg FOB. However, they were not the lowest of the month. The lowest price for Cumin of this month was recorded on October 4 for all the varieties.
It is believed that the price remained stable, and now there is an improvement in the price due to the increase in the local demand for the product. The upcoming festivals like Diwali have been a major factor that led to the price remaining to increase the market witnessed on October 26 and 27, when the prices for all the four varieties increased and reached the highest. Cumin A Grade 99% Pure traded at the highest at $2,08 per kg FOB, Cumin A Grade 98% Pure recorded the price at $2,00 per kg FOB, Cumin FAQ 99% Pure’s price was northbound at $1,98 per kg FOB and Cumin FAQ 98% Pure closed so far at the market’s highest at $1,95 per kg FOB.
It has already been predicted that compared to last year, Cumin production has been less. Last year the production was about 451451 MT, whereas the estimated production for 2021-22 is 391,801 MT. However, despite the lower production and a slump in the price, the Indian Spice Board stated the export of Cumin from India for the year 2020-21 has been up by 40% and has exported about 299,000 tons of the spice. There is also the report that the National Commodity and Derivatives Exchange (NCDEX) has settled the price for Cumin for October at $1.59 per higher, which is about 0.83 percent more. Hence the price was quoted at $192.59 per 100 kg, and the price is expected to remain stable for the coming days.
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