Coriander Prices See a Sharp Increase

Coriander prices have increased by 9.4% since early October, moving from $0,81 per kg to $0,92 per kg. This jump is largely due to a significant drop in imports—only 448.90 tonnes were brought into India in August 2024, compared to over 1,125 tonnes during the same period last year.

The reduced supply, especially from key suppliers like Russia, has tightened availability in the domestic market, driving prices higher.

Rising Demand from Food Manufacturers and Rural Markets

Coriander remains a crucial ingredient in India’s food industry, and demand has surged due to seasonal factors. In October, food manufacturers reported increased purchases ahead of festivals and other events, such as Ramzan preparations. Rural areas also saw strong demand, with sales rising by over 10% compared to last year.

Supply Challenges from Weather Delays

Unpredictable weather in coriander-growing states, particularly Madhya Pradesh and Gujarat, has added to supply worries. Monsoon delays disrupted planting schedules, and heavy rains during key stages may affect crop maturity. These factors are raising concerns about whether the market will have enough coriander to meet growing demand in the months ahead.

Traders Expect Prices to Stay Firm

Traders in the futures market are confident that coriander prices will continue to rise. Contracts for delivery in May 2024 have already increased by over 16%, reflecting expectations of tighter supplies. The current levels are likely to hold, with little sign of prices weakening in the near future.

Conclusion: Coriander Prices Might Increase

With supply constraints and strong domestic demand, coriander prices are expected to remain high, potentially testing new levels in the coming months. Traders believe prices could reach $0,92 per kg or more if the weather continues to impact the crop.





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