Cumin Prices Hold Steady After Recent Declines

The cumin market in India has stabilized after several days of decline. While a modest increase of USD 0,06 to 0,07 per kg is possible in key producer and distributor markets, experts suggest selling current stock rather than holding goods at higher prices. Traders in regions like Unjha, Kathiawar, Porbandar, Bikaner, Merta, and Jodhpur continue to hold ample cumin stocks.

Sufficient Stocks Across Major Regions

Despite the seasonal lull, significant cumin stock remains across Rajasthan and Gujarat. Around 51-52% of last season's stock is still available, with a notable surplus in Rajasthan's Jodhpur and Merta lines. Saurashtra, Mehsana, and Kathiawar regions in Gujarat are also holding substantial quantities.

Farmers have shown strong enthusiasm for cumin sowing this year. Favorable weather conditions and higher profits from previous sales have encouraged expanded cultivation. Sowing activities are still ongoing, and the new crop is expected to arrive within a month.

Farmers Show Increased Interest in Cumin Cultivation

Cumin remains a preferred crop for many farmers, particularly in Gujarat and Rajasthan, due to its profitability compared to other spices like coriander and fennel. With weather conditions supporting healthy growth, the upcoming harvest is anticipated to yield favorable results.

Speculation Drives Short-Term Price Movements

Speculators have slightly influenced the futures market, where low-quality cumin is trading at USD 3,13 per kg. Spot market prices for average-quality cumin are around USD 3,10 to 3,11 per kg, and premium-quality cumin is fetching USD 3,63 to 3,69 per kg. Traders anticipate marginal price increases in the short term.

Given the substantial stock levels and expected arrival of the new crop, holding cumin at current prices might not be beneficial. Industry experts advise selling stocks to avoid potential market risks. International demand remains lukewarm as low cumin prices in global markets hinder export opportunities. Exporters are cautious, and speculative activities have added to market volatility.

Conclusion

With steady stock levels and the new harvest approaching, the cumin market offers limited opportunities for long-term price increases. Stakeholders are advised to adopt a cautious approach while navigating the current market conditions.





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