Despite the arrival of new goods, there is no possibility of a slowdown in small cardamom.

22-Oct-2024 07:07 PM

Kochi. Due to heavy damage to the crop due to adverse weather and natural disasters, the domestic production of small (green) cardamom is likely to fall by about 25-30% compared to last year, while some analysts are estimating a 40% decrease in cardamom production.

If there is no smuggling from Guatemala via Nepal, then the domestic market price of cardamom may remain high and strong in the coming months.

The arrival of new cardamom goods started quite late this time and now its supply has started increasing in the auction centers.

There will be pressure of supply for some time and the pace of arrival may slow down when the goods of small producers are sold.

In view of the possibility of a decline in production, big producers may try to suppress the stock of cardamom with the hope of improvement in prices in the coming months.

This is likely to support the prices. Generally, the price of cardamom may remain strong. In an auction held recently, 71,433 tonnes of cardamom arrived and its average price was recorded at around Rs 2231 per kg,

which was slightly below the average price of Rs 2238 per kg in the auction held on October 10. With the peak supply season starting,

there will be pressure of arrivals for a few days and after that the situation will become normal. Cardamom is being traded in the domestic segment to meet the demand of the festive season.

There may be good demand for it in the future as well. The market will remain strong if the countries of Central Asia and the Gulf region start buying.

Once again, Indian cardamom will have to face competition from Guatemala in the international export market. The crop there is also said to be weak.