Executive Summary
The World Trade Organization (WTO) has successfully conducted multiple bidding sessions for the 2024 Sesame Tariff Rate Quota (TRQ). These tenders have resulted in significant allocations of sesame seeds. From various countries, reflecting the global interest and competitive nature of this commodity market.
Tender Details and Outcomes
On January 11, 2024, the first tender took place under the listing number AT2683-SI-24(934), allocating a total quantity of 6,000 tons of sesame seeds. The key allocations included India receiving 4,800 tons, Nigeria obtaining 900 tons, and Burkina Faso securing 300 tons. Notable bidders included Glesco Korea Co. Ltd., which secured 300 tons at the lowest bid price of $2,049.90 USD/ton, and Saladin from Burkina Faso, which secured 300 tons at the highest bid price of $2,142.00 USD/ton. The sesame seeds are scheduled to arrive on March 23, 2024.
The second tender, held on February 15, 2024, included two listings, AT2693-SI-24(948) and AT2693-SI-24(949), with a total quantity of 12,000 tons. Key allocations were made to India (1,050 tons), Burkina Faso (2,250 tons), Nigeria (1,800 tons), and Togo (900 tons). The first 6,000 tons are set to arrive by April 26, 2024, and the second 6,000 tons by May 24, 2024. Arizu Walk from Burkina Faso secured 900 tons at $2,068.00 USD/ton, while Green Star Co. Ltd. from India won 450 tons at $2,070.00 USD/ton.
On March 28, 2024, the third tender, numbered AT2710-51-24(986), allocated 6,000 tons, with Nigeria receiving 4,200 tons and Burkina Faso 1,800 tons.
The fourth tender, held on April 11, 2024, under the number AT2734-SI-24(033), allocated 7,500 tons. Key allocations included Klesko Korea Co. Ltd. with 600 units, CS MRO with 900 units, Daeyang Industry and Nongshim with 600 units each, Nice Farm with 900 units, Indigo Group with 600 units, and Kukobiz Jimchulso with 300 units.
Market Impact
The results of these tenders have far-reaching implications for the global sesame market. The robust participation and competitive bids underscore the high demand and strategic importance of sesame seeds. Companies from diverse regions, including India, Nigeria, Burkina Faso, and Togo, have secured significant quantities, ensuring a broad distribution network.
The tenders have also impacted local markets, such as the Indian peanut market, where the announcement of the sesame tender led to increased procurement activities and price hikes. Stakeholders are advised to monitor these developments closely and adjust their strategies accordingly.
The 2024 Sesame TRQ tenders have highlighted the dynamic and competitive nature of the global sesame seed market. The successful bids and strategic allocations reflect the industry’s ongoing growth and the importance of transparent and fair trade practices. The WTO’s oversight has been crucial in maintaining the integrity of the bidding process. Ensuring a level playing field for all participants.