Weekly Review-Cumin

27-Jul-2024 06:07 PM

Cumin prices fall due to reduced exports

New Delhi. Cumin prices remained soft during the current week. However, prices improved due to enquiries from exporters at the end of the week. But overall, cumin prices remained subdued during the current week as compared to the previous week. Apart from reduced export demand, local demand also remained limited in the market. Sources say that there is no possibility of much increase in cumin prices in the near future. Because this year, news is coming that cumin production in foreign countries is also higher than last year. It is worth mentioning that apart from India, cumin is also produced in Turkey, Syria, China, Afghanistan. In India, the new crop of cumin starts in January-February, whereas new goods arrive in foreign countries in July-August. Currently, new cumin is arriving in foreign countries, due to which the export demand for Indian cumin remains weak.

Yield

Due to the price of cumin touching a record level of Rs 630/640 in the country last season, the area of ​​sowing increased in the producing states for the current season and the weather after sowing was also favourable for the crop. Due to which the production of cumin in the country this year was more than one crore bags. Whereas last year the production was 55/60 lakh bags (one bag- 55 kg). This year the cumin production in Gujarat was 46/47 lakh bags, whereas the production in Rajasthan is estimated to be 55/56 lakh bags. Last year the production in Gujarat was 23/24 lakh bags and in Rajasthan it was 36/37 lakh bags. There are reports of higher cumin production in foreign countries this year as well. The production in China is estimated to be 50/55 thousand tonnes (last year 28/30 thousand tonnes). While the production in Turkey is 14/15 thousand tons (7/8 thousand tons last year), the production in Syria is believed to be 40/45 thousand tons (20/25 thousand tons last year). There are reports that cumin production in Afghanistan is almost double compared to last year, i.e. 35/40 thousand tons.

Fall in prices

At present, the daily arrival of cumin at the production centers has remained quite low, but due to lack of export demand and weak purchases by local traders, prices have fallen. During the current week, the prices of cumin have been quoted with a decline of Rs 300/500 per quintal at the consumption centers as well as the markets of the production centers.

Not much recession

Traders say that there is no more recession in the current prices of cumin. Because the recession of high production in the country has come to the market. Farmers have also taken out the goods as per their need. Now the farmer will also sell the goods only after the prices increase. Because farmers have also seen the price of 630/640 rupees last year. Daily arrival of cumin in the mandis of production centers has also started decreasing. Except Unjha mandi, the arrival in other mandis has come down to 500/600 bags. The average daily arrival in Unjha mandi is 6/7 thousand bags. Except Merta mandi of Rajasthan, the arrival in Nagaur, Jodhpur Naukha mandi has come down to 400/500 bags. Arrival in Merta is going on at 1500/2000 bags. As far as the rise is concerned, there is no possibility of much increase in prices in the near future. Because farmers have sufficient stock, the arrival in the mandis will start increasing as the prices increase. More increase in prices will depend on the export demand in the coming days.

Export decreased

Decline in cumin export has been recorded for the last 4 years. It is noteworthy that during the year 2020-21, the export of cumin was 298423 tonnes, which decreased to 216971 tonnes in the year 2021-22. In the year 2022-23, the export was 186509 tonnes. In the year 2023-24 also, the export has come down to 165269 tonnes. Which is the lowest in the last 6 years. In the first month of April of the current financial year 2024-25, the export of cumin was more than last year but the export has decreased in May. According to the information received, the export of cumin in April-2023 was 17084.88 tonnes, which increased to 39182.42 tonnes in April-2024. But during the month of May, the export was affected due to the rise in cumin prices. In May 2024, the export of cumin decreased to 22885 tonnes as compared to the month of April. In May 2023, the export of cumin was 24794 tonnes and in May 2022, the export was 13372.75 tonnes.