New Mercara Pepper Crop Faces Delays in Karnataka

The arrival of the new Mercara pepper crop in Karnataka is expected to be delayed. Business sources report that the market remains firm due to this delay, and prices may continue hold its back. Stockists have increased buying activity, causing black pepper Mercara prices to rise to USD 8,58 - 8,76 per kg, while 12.5 No. 5 black pepper is trading at USD 9,24 - 9,30 per kg. These prices have increased by USD 0,42 - 0,54 per kg in recent weeks.

In Karnataka, the Mercara pepper harvest typically begins in February, but reports suggest arrivals may not begin until mid-March. If production declines by 25%, total black pepper output in India may drop from 65,000 tonnes last season to 48,000 - 50,000 tonnes this year.

Kerala’s Black Pepper Crop Arrivals With Lower Production

Kerala’s new black pepper crop began arriving in January, but production is estimated to be 20-25% lower than usual. Weather conditions were favorable overall, yet a drop in yields has impacted availability. Currently, black pepper prices in Kochi remain at USD 7,80 - 8,04 per kg, reflecting a recent increase of USD 0,18 - 0,24 per kg. The arrival of new stock remains limited to rural areas, and large markets like Kochi have yet to see significant volumes.

Indian Black Pepper Exports Movement

India exported 13,654.19 tonnes of black pepper worth USD 78.12 million between April and November 2024-25, marking a 24% increase in quantity and 45% increase in revenue compared to the same period last year. Business sources anticipate that when Karnataka’s new crop enters the market, domestic black pepper prices may dip initially. However, prices could rise again, with expectations of an increase of USD 1,20 - 1,44 per kg in the coming months.

Conclusion: Market Uncertainty but Strong Long-Term Prospects

With a delayed Karnataka harvest, lower production, and strong export demand, black pepper prices are likely to fluctuate in the coming months. Short-term corrections may occur when new arrivals begin, but long-term supply constraints could push prices higher. Traders should monitor market movements closely and plan their purchases accordingly.