New Crop Arrives, But Prices Hold Steady

The first batch of big cardamom has arrived in India's markets, particularly from Assam, where the harvest began about 8-10 days ago. Despite the new crop's arrival, the supply remains weaker than usual. Big Cardamom Canchocut prices have stayed firm at USD 17,64 to USD 17,70 per kg in local wholesale grocery markets. A recent price increase of USD 0,24 to USD 0,30 per kg caused a brief surge in market activity. However, overall sales remain sluggish. Traders expect sales to improve soon, as demand typically increases during this period.

Weaker Yields Could Push Prices Even Higher

Dayanand Jain, a prominent trader from Assam, mentioned that the crop arriving is below normal levels. This lower supply is contributing to steady prices. The last auction on September 12 saw prices range from USD 14,10 to USD 20,40 per kg. Since then, no new auctions have taken place, and arrivals continue to lag. This is creating concerns about the overall supply for the season.

Jain explained that poor weather during the crop’s growth stage caused significant damage to yields. He estimates that the current crop could drop by 40-50% from normal levels. As a result, prices are likely to rise by USD 1,20 to USD 2,40 per kg in the coming weeks. Traders expect prices to stay high, as stockists anticipate further supply constraints.

Export Data Reflects Strong Global Demand

India’s export market for big cardamom remains strong. According to the Spices Board of India, the country exported 346,98 tonnes of big cardamom, valued at USD 6,49 million, during the first three months of the 2024-25 financial year. This marks a significant increase compared to the 247,96 tonnes exported during the same period last year, which earned USD 2,30 million.

The rise in both volume and value highlights strong global demand, particularly from markets like the Middle East and Southeast Asia. Traders are optimistic that, with international demand holding firm, Indian big cardamom could see even greater export volumes in the coming months.

Conclusion: Prices Likely to Stay High

With weaker-than-expected crop arrivals and strong export demand, big cardamom prices are expected to remain elevated. Prices may rise further in the coming weeks, depending on how the crop performs and upcoming market auctions.

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