The Hindu Business Line : Cardamom prices continue to rule steady

Cardamom prices continued to rule steady on buying support during the week at auctions held in Kerala and Tamil Nadu. At the auction in Kumily (Kerala) on Wednesday by the Cardamom Processing and Marketing Company Ltd (CPMC), the prices moved up by Rs 10-15 a Kg as buyers both domestic and export were active. The total volume of 73 tonnes that arrived at the auction was sold out.

Exporters bought 12 tonnes of the commodity. Enquiries from overseas markets said to have started pouring in for the Indian cardamom, probably because of increased demand and the reported decline in Guatemala production. Besides, there has been a growth in retail marketing in the domestic market, trading sources told Business Line. The prevailing prices, they said, are moderate.

Active Buying

North Indian buyers were active for over a month. Investors in commodities were also buying, which implies of a potential drop in availability and a consequent increase in price, they said. Active buying by upcountry dealers also shows that they have almost exhausted their inventories.

Fast colour 8 mm bold fetched Rs 460 a kg at Wednesday's auction while colour-faded capsules were being sold at Rs 380-Rs 400 a kg. 7.5 mm and 7 mm were fetching Rs 340-Rs 350 and Rs 310-Rs 320 a kg, while good current bulk was sold at Rs 290-Rs 300 a kg, Mr P.C. Punnoose, General Manager, CPMC, told Business Line.

Arrivals continued to remain at moderately higher level at all the auctions and almost the entire quantity was being sold. Because of the buying support the prices were by and large steady with marginal fluctuations, market observers said.