Good increase in the prices of big cardamom in November

23-Nov-2024 10:35 AM

Good increase in the prices of big cardamom in November
It looks like the price of big cardamom has seen a notable increase in November, primarily driven by a combination of factors:

Price Increase: Big cardamom Jhundivali rose from Rs. 1500 on 5th November to Rs. 1750 on 22nd November, and medium cardamom from Rs. 1520 to Rs. 1780 over the same period. This indicates a strong upward trend in the market.

Supply Disruptions: One of the key reasons behind this price hike is the weak production of big cardamom abroad, which has likely reduced available supply, further driving up prices. In addition, import restrictions may have contributed to the shortage.

International Market Trends: Global prices for cardamom have also risen, which is another factor pushing up domestic prices. The international market has seen an increase in the cost of small cardamom by Rs. 50-100 per kilogram in the past week, reflecting a broader rise in the cardamom market.

Domestic Production Issues: In Kerala, the recent rains have led to reduced productivity in cardamom plantations. This weather-related setback, combined with lower yields, could continue to affect domestic supply in the near term.

Future Outlook: Given the ongoing supply constraints and strong international and domestic demand, market experts expect prices to remain strong in the coming months. This could result in sustained higher prices for both big and small cardamom in the short to medium term.

In conclusion, the price increase in November seems to be a result of multiple intertwined factors, including poor overseas production, local weather challenges, and rising global prices. The market is likely to stay elevated for the foreseeable future.