Demand Slows, Coriander Prices Under Pressure

The demand for coriander has significantly dropped, leading to stagnant prices. Despite the arrival of both old and new coriander, the market is facing low demand, with old stocks selling better than new ones. In Neemuch Mandi, coriander prices currently range between $0,73 to $0,78 per kg, with good quality Eagle priced between $0,80 to $0,84 per kg. A recent dip in demand caused prices to fall by $0,024 per kg.

In markets across Madhya Pradesh, the arrival of coriander is about 10,000 bags, while Rajasthan sees 6,000 to 7,000 bags. Although arrivals are steady, demand remains weak, limiting any significant price movement.

Russian Coriander Imports and Market Impact

The market is not receiving much support from export demand, leading to a stable yet weak price environment. The trade of Russian coriander has seen a reduction, with prices previously ranging from $0,64 to $0,66 per kg now quoting between $0,68 to $0,70 per kg. Imports from Russia are expected to start in August, reaching the Indian market by September. However, large-scale imports are unlikely this year due to high local stocks and low prices.

The situation is exacerbated by the lack of export demand for Indian coriander. The overall stock of coriander in the country is substantial, with at least 4 million bags expected to carry over into the new season. This surplus further limits any potential for a significant price increase.

Limited Price Fluctuations Expected

The coriander market is likely to see prices remain in a narrow range due to the current low demand. In Neemuch Mandi, good quality coriander is expected to trade between $0,80 to $0,84 per kg. The market is saturated with both old and new stock, making a significant price rise unlikely.

Some traders anticipate a drop in prices, with estimates suggesting coriander could fall to as low as $0,72 per kg in the loose market. Despite a high stockpile, the demand from spice companies is notably low, contributing to the overall market weakness.

The situation in Gujarat reflects a similar trend, with daily arrivals of 7,000 to 8,000 bags of coriander and prices recently falling by $0,006 to $0,009 per kg. The futures market has seen even greater declines, with prices dropping from $0.89 per kg to below $0,84 per kg.

Exports have been hit by challenges in the global market, including the crisis in Bangladesh and a decrease in overall commodity export business. This has added to the pressure on coriander prices, which are expected to remain under strain in the coming days.

Coriander prices are likely to remain within a limited range due to weak demand and abundant stock. Despite some fluctuations, the market is not expected to see any significant price increases in the near future. The arrival of Russian coriander in September may further impact prices, but the overall market outlook remains subdued.