Fenugreek Price Declines Due to Surplus Supply and Stock Clearance

Market trends indicate a steady decline in fenugreek prices as old stock is being rapidly sold off. The bearish sentiment is expected to continue, with prices likely to fall further by USD 0,12 per kg in the coming months. The current average market price ranges between USD 0,77 to 0,79 per kg. Compared to last year’s levels of USD 0,83 to 0,84 per kg.

Due to the excess stock carried over from the previous season, fenugreek prices have struggled to remain firm. Last year’s production was lower, yet stock availability prevented any significant price increase. As a result, the market remained below USD 0,87 to 0,88 per kg for most of the year. This season, with higher sowing and promising crop conditions, prices are projected to decline further.

Fenugreek Crop Shows Strong Growth

The fenugreek crop is thriving this season, supported by favorable weather conditions and increased sowing in major producing states. Key regions such as Uttar Pradesh, Madhya Pradesh, Rajasthan, and Gujarat have reported higher acreage under fenugreek cultivation. Additionally, limited but sufficient sowing has been recorded in Bihar and West Bengal, ensuring a steady domestic supply. With harvest still two months away, market dynamics are already shifting due to stock liquidation.

Increased Sowing of Fenugreek

The sowing area in key markets such as Neemuch, Ratlam, Kumbhraj, Mandsaur, Kota, and Bara has increased by 22-23%, boosting expected production. Similarly, Gujarat has seen a 12-13% increase in fenugreek cultivation. With better yields anticipated, traders are cautious about long-term price stability.

Additionally, reports from farmers indicate that fenugreek production has risen from 0.8 million bags last year to an estimated 1 million bags this season. An estimated 0.22 million bags of old stock remain in key trading hubs, contributing to further price pressure. The total expected supply for this year stands at approximately 1.2 million bags, reinforcing concerns about oversupply.

Conclusion: Surplus Supply to Keep Prices Under Pressure

Given the significant increase in production and the presence of old stock, fenugreek prices are likely to decline further in the coming months. The average market price of USD 0,77 per kg may drop to USD 0,63 per kg in key wholesale markets such as Delhi. Traders and farmers should be prepared for continued bearish trends, with limited prospects for a price recovery unless export demand strengthens in the near future.