International Highlights
- China: In Hubei, new-season sesame seeds are growing well, but heavy rainfall in Huangmei and other locations has caused waterlogging. In Henan, areas like Zhoukou and Shangcai have doubled their sesame planting area compared to last year. And the growth is normal. Linquan Town in Anhui Province is seeing increased enthusiasm for sesame planting, with favorable weather conditions aiding growth.The overall Qingdao port stock as of July 5, 2024, is approximately 215,600 MT, down from 227,212 MT as of June 31, 2024. This decrease suggests a stable supply with a slight reduction in stock levels over the past week.
- Pakistan: The anticipated sesame crop size in Pakistan is between 300,000 and 350,000 MT. Heavy rainfall is forecasted in the Punjab region from July 8 to 15, which could impact the upcoming harvest. Currently, around 15,000 MT have been sold for August shipment at an average price of $1,50 to $1,55 per kg on a CNF basis to China. Stocks from previous crops are believed to be limited, possibly less than 20,000 MT in total. Harvesting has begun in Punjab, albeit in small quantities, with full-scale harvesting expected in the coming month.
- Somalia: The sesame crop size in Somalia varies significantly, ranging from 60,000 to 120,000 MT, depending on weather conditions. Limited technology and infrastructure pose challenges, but the soil is versatile with the potential for higher yields with better resources. Somalia’s main crop cycles are from February to March and September to November, with the sowing of the second crop currently underway. Most of Somalia’s sesame crop is exported to European and Middle Eastern countries, with a small portion used locally for sesame oil production.
- Brazil: Brazil’s sesame cultivation began in Mato Grosso State, which remains a significant producer. The cultivation area is expanding to other states, with farms being large and requiring mechanized harvesting. IBRAFE estimates that Brazilian sesame production for 2024 will be between 190,000 and 200,000 MT. Approximately 60% of the total sesame-growing area has been harvested, with Mato Grosso nearly complete. Export challenges include adverse weather affecting main ports, causing congestion and increasing freight costs, an unstable currency, and logistical issues.
- Tanzania: As of 08/07/2024, Tanzania’s warehouse deposit summary shows a total weight of 117,328 MT of sesame seeds, with the highest auctioned weight in Lindi at 30,270 MT. From 03/07/2024 to 07/07/2024, high and low prices for sesame seeds ranged from $1,19 to $1,40 per kg across various regions. Tanzania faces challenges in agriculture due to limited technology and infrastructure, but the versatile soil offers potential for higher yields with better resources.
Indian Market Update
Gujarat: Out of a total summer crop size of 90,000 to 100,000 MT, around 70,000 to 75,000 MT have arrived in the market. Traders are expected to hold their stock and release it gradually. It’s leading to a potential decrease in the arrival of sesame seeds soon. Prices in the Indian sesame market are stable, with Natural Sesame Sortex priced at around $1,68 per kg. In Rajkot, around 250 bags of Black sesame seeds arrive daily, totaling about 400 bags throughout Gujarat daily. Prices of black sesame range from $1,80 to $1,90 per kg.
- Tamil Nadu: There is no major movement in the Indian sesame market, and prices remain stable. The export demand for Indian Hulled sesame is currently low, with no significant exports due to higher freight rates.
- Madhya Pradesh: The overall sesame crop is performing well, with stable prices and regular arrivals in the market. There have been no significant changes in the market dynamics compared to the previous week.