The demand for hulled sesame from India has decreased by 30 percent in Europe and the American market. The other factors that reduce the export of the hulled sesame from India are the increase in the freight price and the shortage of containers. America is now meeting its demand for hulled sesame from South American countries like Guatemala, Venezuela, Paraguay, and Mexico.
India is no longer the leader in providing hulled sesame seeds. South American and African countries are offering hulled sesame seeds, and India is failing to meet the demand of the product from Europe and America.
Despite the European government having removed the pesticide testing of the hulled sesame, the importers are still testing the products, putting pressure on the export of the Indian seeds.
In the previous week, the market was stable because there was a minimal product supply. After all, there was limited domestic demand with no export demand. This situation has put the market in an equilibrium position.
If the production increases and the demand stays at the current state, then the price might decrease for the crop in the coming days by $0,07 to$0,08 per kg. India is also concerned with the hulling monopoly status. Apart from South American countries, Turkey, Egypt, Sudan, Nigeria, and Somalia produce hulled sesame seeds. European countries are getting hulled seeds from Nigeria at half the price compared to India. The shipment takes less time to reach the EU countries than India.
Currently, the sesame stock in the international market is optimum. Suppose India fails to produce 4 to 500,000 tons of sesame this year. In that case, it will lead to India gradually losing its lead as a leading supplier of the product in the international market. India is currently in a good position as the black sesame seed supplier globally. Besides India, Myanmar is the other country that supple black sesame globally.
Price Trend
White Natural Sortex 99.95%
Date | Price |
March 17 | $1,64 per kg FOB |
March 8 | $164 per kg FOB |
February 28 | $1,63 per kg FOB |
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