Fennel Prices at Lowest Levels, No Further Decline Expected

Industry sources indicate that fennel prices have reached their lowest point, making it an attractive time for stocking. Last year, farmers in major producing states like Gujarat and Rajasthan received favorable prices for their produce. This encouraged more sowing in the current season, leading to a bumper harvest. Favorable weather conditions further boosted crop yields, pushing fennel production to an estimated 3.8-4.0 million bags (each weighing 55 kg). In comparison, last year's production was significantly lower at 2.0-2.1 million bags.

Due to this increased yield, prices have continuously dropped. Currently, low-quality fennel is being quoted at $0,07-$0,08 per kg in major producing markets. In contrast, export prices have also softened, falling to $0,08-$0,09 per kg from $0,10-$0,11 per kg in June. While the market has slowed down due to high production, experts believe that fennel prices could see an upward trend if demand picks up in the coming months.

Exports Provide a Silver Lining Amid Low Domestic Prices

At present, export trade for fennel has reduced, contributing to the drop in export prices. However, there is a growing expectation that exports will pick up again due to the price fall. Last year, India exported 20,201 tonnes of fennel during the 2022-23 season. This figure rose sharply in the 2023-24 season, with exports totaling 39,565 tonnes.

Early figures from the first quarter of the 2024-25 season indicate even more growth. Between April and June 2024, fennel exports surged to 34,015,78 tonnes, a substantial increase from the 18,573,19 tonnes exported during the same period in 2023. This trend shows that fennel exporters will achieve another record-breaking year.

Fennel Export Boom Expected to Break Records

The record for fennel exports was previously set in 2021-22, with a total of 40,139 tonnes shipped abroad. However, based on current export growth, it is highly likely that the 2024-25 season will surpass this milestone. The increasing demand for fennel on the international market, coupled with lower domestic prices, provides a unique opportunity for Indian exporters.

If this export momentum continues, India will set a new record for fennel exports this year, showcasing the strength of the country's fennel industry and the potential for further market expansion.

Optimistic for Price Recovery

Fennel prices in India have dropped to their lowest levels due to high production. However, with growing exports and increased international demand, there is optimism for price recovery and further export growth in the coming year. As India gears up for a potential record-breaking export season, the future of the fennel industry looks promising.