Cumin Prices Supported by Domestic Demand and Export Activity to Gulf Countries

05-Apr-2025 12:23 PM

Cumin Prices Supported by Domestic Demand and Export Activity to Gulf Countries

★ Cumin prices rose by 0.7%, closing at Rs. 23,120 per quintal.

★ This price increase was driven by steady domestic demand and strong export activity, especially from Gulf countries.

★ Limited arrivals from Rajasthan have tightened near-term supply, while delays in cumin crop in Gujarat have raised further concerns.

★ Weather disruptions have postponed sowing by nearly a month in major producing states like Gujarat and Rajasthan.

★ Gujarat Farmers still hold around 20 lakh bags of stock, out of which only 3–4 lakh bags are expected to be traded by the end of the season. This means nearly 16 lakh bags will be carried forward to the next season.

★ According to Spices Board data, cumin production in India rose to 8.6 lakh tonnes from 11.87 lakh hectares in 2023–24, compared to 5.77 lakh tonnes from 9.37 lakh hectares last year.

★ Indian cumin remains the cheapest in the global market, making it attractive to countries like China, where cumin prices are $200–$250 per tonne higher than in India.

★ From April to December 2024, cumin exports surged by 70.72% year-on-year, reaching 1,65,084.40 tonnes. In December 2024, exports increased by 56.45% compared to November 2024 and by 47.77% compared to December 2023.

★ From a technical perspective, short covering is observed in the market, with open interest down by 5.73% to 2,271 contracts. Cumin has support at Rs. 22,870, and if this level breaks, the next support is at Rs. 22,600. On the upside, resistance is seen at Rs. 23,540, and if surpassed, prices may rise to Rs. 23,940.