Export Demand and Low Stock Push Turmeric Prices Higher

Turmeric prices in India are gaining momentum as production dips and traders clear out multi-year stockpiles. With low yields reported in key growing regions such as Erode, Warangal, Nizamabad, Sangli, and Duggirala, traders now expect a price increase of USD 0,24 per kg in the next two months.

Turmeric Stock at Historic Lows

Last year’s stock stood at 1,2 million bags, while this year’s leftover stock is just 500,000 bags. Farmers shifted to alternative crops like corn and banana over the past four years due to poor returns from turmeric, leading to reduced sowing. This shift, along with clearance of old turmeric from earlier seasons, has tightened overall availability. New arrivals in Nizamabad have dropped from 22,000–23,000 bags to just 9,000–10,000 bags per day.

Current Market Prices and Trade Sentiment

At present, turmeric from the 2023 crop is trading at USD 1,66 per kg, while the 2024 crop is at USD 1,68 per kg. Traders are offering 2025 crop turmeric from Erode at USD 1,70 per kg (ex-market), and expect it to reach USD 1,78 per kg after adding freight. The daily drop in arrivals, combined with rising temperatures and poor-quality old stock, is pushing buyers to stock up.

Short-Term Strategy: Stock During Price Dips

Export and domestic consumption together stand at 13 million bags. Traders now predict prices could touch USD 1,92 per kg in the coming month, with potential for further gains. With low pod quality and limited arrivals from major centers like Siliguri, traders advise bulk purchases during any dip of USD 0,06–0,08 per kg.

Turmeric remains a strong bet in the current market, and active stock management will be key to maximizing profit.