Traders Drive Coriander Prices Down but Stability Remains

Coriander prices recently dipped as traders booked profits, yet market has remained stable. Even with lower-than-expected yields, steady supplies from key states of India like Madhya Pradesh, Rajasthan, and Gujarat are keeping things balanced. By the week ending September 21, 2024, coriander arrivals in India reached 4,483.60 tonnes, marking a 16.95% drop from the previous week. This decrease reflects ongoing shifts in the agricultural landscape, as Gujarat farmers return to coriander from cumin after Dussehra.

Weather’s Impact on the Coriander Market

Weather continues to play a major role in shaping the coriander market. Heavy rainfall in Madhya Pradesh and Gujarat has raised concerns about waterlogging, which could damage crops. In East Rajasthan, the delayed withdrawal of the monsoon may disrupt sowing schedules and crop maturity. Farmers in these areas are getting ready for the post-monsoon period, closely monitoring how the weather will impact both sowing and harvest.

Price Recovery with an Eye on Demand

Coriander futures on NCDEX have shown a slight recovery, currently trading around USD 1,06 per kg. Analysts are watching resistance levels between USD 1,09 and USD 1,14 per kg, while support remains at USD 1,02 per kg. This points to potential price movements, depending on agricultural data and demand in the coming weeks. Despite a drop in production, coriander prices remain stable due to balanced supply and demand, preventing major price hikes.

Conclusion: Market Balances Supply, Demand and Weather Challenges

The coriander market faces a delicate balance of agricultural practices and changing weather. As farmers prepare for shifts in sowing patterns after Dussehra and face adverse weather, the market’s resilience will be tested. The months ahead could reveal how these factors influence pricing and availability.





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