The Hindu Business Line : Bumper cardamom crop leads to doubling of arrivals

CARDAMOM arrivals at auctions held in Kerala and Tamil Nadu during the current season have almost doubled from the corresponding period a year ago, following a bumper crop.

Total arrivals at the auctions in these two States as on November 30 stood at 4,212 tonnes as against 2,317 tonnes in the same period last year. Sales also went up to 3,937 tonnes as against 2,180 tonnes last season. Due to heavy arrivals, the prices have remained at lower levels throughout the season and as a result, the weighted average price this season has dropped to Rs 228.98 a kg from Rs 302.45 a kg last year.

As good quality cardamom is available at low prices, buyers, both domestic and exporters, have been active. Withdrawals have been marginal at all the auctions.

Direct sales this year aresaid to be less due to delayed and faulty payments. The farmers, therefore, preferred to sell their produce at the auctions where payment is done, by and large, on the same day.

Prices of graded varieties as on November 26, were AGEB Rs 300-310,AGB Rs 215-225, AGS Rs 200-210and AGS 1 Rs 175-190 a kg. Running bulk was fetching Rs 200-240 a kg.

In the local market at Bodinayakannur, the prices of these varieties on Thursday were AGEB Rs 290-300, AGB Rs 200-205, AGS Rs 195-200and AGS 1 Rs 170-175 a kg.

Exporters were active, as the prices remained competitive. The total exports in November were estimated at last month's level of 125 tonnes,export sources in Bodinayakannur told Business Line.

Arrivals at the Kumily auction by the Cardamom Processing and Marketing Company (CPMC) continued to remain high. On Wednesday, they stood at 90 tonnes of which 86 tonnes were sold out. The capsules were good. The prices ruled steady at Rs 220-225.The prevailing attractive prices seemed to have motivated dealers/traders to buy, as there would not be much risk involved, said Mr P.C. Punnoose, General Manager of CPMC.

Meanwhile, the growers are unhappy with the low prices during the current season. However, those farmers having good yield might not be badly affected. But for planters with poor yield, the prices might be unremunerative.

The weather conditions continue to remain favourable and hence there will be a late crop also. Indications are that the production this year might cross 13,000 tonnes as against 11,500 tonnes last year.

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