![]() Financial Daily from THE HINDU group of publications Tuesday, Oct 21, 2003 |
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Agri-Biz & Commodities
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Spices & Condiments Rise in vanilla prices continues A.J. Vinayak
Mangalore , Oct. 20 VANILLA growers are beginning to see better times. There has been nearly Rs 700 increase in the price of green vanilla beans in the last 15 days. The Vanilla Development Trust (VDT), which quoted Rs 2,775 a kg for the first grade green vanilla beans on October 6, quoted Rs 3,500 on Monday. While the vanilla market is gearing up in Dakshina Kannada district, the Totagars' Sales Society (TSS) in Sirsi of Uttara Kannada district has come out with a weekly bidding scheme to procure vanilla beans. However, it is making only arrangements for buyers to procure vanilla beans from growers. For the week beginning on Monday, it has fixed Rs 3,470 for the first grade green vanilla beans. A fortnight ago the first grade green vanilla beans was fetching Rs 2,775 a kg. This week VDT has quoted Rs 2,700 a kg for the second grade vanilla beans. TSS has quoted Rs 2,960 for the second grade green vanilla beans. Last week it quoted Rs 2,077 for the second grade green vanilla beans. Even there has been a jump of Rs 225 for the third grade green vanilla beans. TSS, which quoted Rs 625 a kg for the third grade green vanilla beans last week, quoted Rs 850 a kg this week. However, the jump is only Rs 145 in the case of VDT. It quoted Rs 655 a kg for the third grade green vanilla beans last week. The weekly bidding process in Sirsi has hastened buying activity in coastal and interior Karnataka. Some growers feel that the weekly bidding scheme would fetch remunerative prices owing to the competitions between the buyers. Other players such as the pharmaceutical companies are concentrating only on the first grade green vanilla beans. One of the representatives of such a company, who purchased it at Rs 3,300 a kg last week, said his company bought vanilla beans from Sirsi, Koppa, Shimoga, Belgaum, and Dharwad markets. Asked why they concentrated only on first grade vanilla beans, the representative said that first grade suited their quality requirements. Compared to interior Karnataka, crop yield begins 20 days earlier in coastal Karnataka. However, the demand for it is increasing despite rising supply from the interior Karnataka. This has made farmers in Tirthahalli taluk of Shimoga district to take this as an intercrop in their arecanut plantations. The bumper price for the crop has brought problems with it also. The number of theft of vanilla vines has been increasing in both coastal and interior parts of Karnataka. There was a report of members of a family committing suicide for allegations of vanilla vine theft on them in Tirthahalli taluk. In some areas of Sullia taluk of Dakshina Kannada district, growers have appointed guards to protect their vanilla crops. With the increase in the price of green vanilla beans, other costs have also gone up. One of the growers in Sullia taluk said that one metre of vanilla vine, which used to cost Rs 25 in the beginning of the season, was costing Rs 60 now.
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