Sesame Rides The Wave As Domestic Demand Swells

Sesame Rides The Wave As Domestic Demand Swells Trends, Challenges, and Future Outlook Of Sesame

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In the world of sesame, where the aroma of demand and the gusts of market dynamics create a unique melody, the recent composition foretells a captivating story for both producers and importers. In India, as the winter chill sets in, the domestic demand for white sesame is experiencing increasing prices and potential challenges.

Will demand rise?

An industry maven asserts that there’s no recession in sight for white sesame. With the festive fervor subsiding and winter knocking on the door, the domestic demand for this tiny powerhouse is expected to rise over the next three months, painting a canvas of uncertainty. The supply dynamics add intrigue to this demand. An estimated 50 thousand tonnes of white sesame are poised to be sold from November to January, raising the pertinent question of the origin of such a substantial supply. With one lakh tonnes of  crop harvested in the Kharif season, the majority has already graced the markets. The curtain is falling on West Bengal’s crop, further tightening the supply.

Unique demand for black-brown sesame

Despite the surge in domestic demand, there’s a unique demand for black-brown sesame seeds, particularly in Rajasthan, catering to the creation of the traditional sweet, Gajak. Additionally, crushing mills in the south are actively seeking sesame to meet the demands of oil production, drawing supply from Bengal sesame. As the temperature drops across India, the demand for white sesame is expected to climb. While a price decrease seems unlikely, the potential for it to reach $2,40 or €2,20 per kg remains uncertain.

The story unfolds with the backdrop of the Kharif sesame crop in India, estimated at 1.25 million tonnes. However, a staggering 70 percent of the crop falls into the category of poor quality, amplifying the scarcity of premium quality. Importing white sesame from Brazil is an ongoing trend, but as Sudan and Nigeria enter the stage, the price of natural sesame is anticipated to climb, bolstered by domestic demand. While black sesame experiences a decline in production, the lack of export demand and a substantial stock keep it in the shadows. The Indian sesame commands the highest prices in the international market, quashing the possibility of export demand for natural sesame. Yet, a consistent export demand keeps the wheels of international trade in motion.

In the global market, Sudan Red and Nigeria’s mixed sesame each stand at 1700 dollars or €1560 per
tonne, signaling the end of crops in Brazil and Pakistan. The mixed sesame from Burkina Faso
hovers between 1770 to 1775 dollars, and white sesame commands a lofty 1820 to 1825 dollars. The
Indian sesame claims the highest pedestal at 2150 dollars or 1972 Euros.

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