Agri Business

Cardamom auctions records highest arrivals in the current fiscal

V Sajeev Kumar | Updated on December 20, 2019 Published on December 20, 2019

File photo   -  istock.com/Evgeniia

Cardamom auctions has recorded one of the highest arrivals in the current fiscal at around 166 tonnes in the two sessions to be held at Spices Park at Bodinayakanur.

According to traders, growers are liquidating their stock on the anticipation of fetching better prices from the auctions, which witnessed an upward trend since Friday till Wednesday realising an increase of Rs 400 per kg in four days. The average price realisation had also touched an all-time high in the range of Rs 3400 per kg during these days.

However, the prices cooled off on Thursday after breaking the winning streak, registering a drop of Rs 100-150 per kg due to sentiments in the market. Traders cited cancellation of a 150-tonne order from Tamil Nadu government for the ensuing the festival of Pongal, a bleak outcome of the Indian delegation to Saudi Arabia for a revival of cardamom exports etc as the reasons for the sudden downward trend in prices.

However, traders believe that the prices are expected to be stable and steady in the following days as there was good demand from all the stakeholders. There would be fresh export orders from other Gulf nations especially following the delay of the Guatemalan crop hitting the overseas market.  

In the morning session, the auctioneers Mas Enterprises Ltd offered more than 88 tonnes, while the offer made by Header Systems in the afternoon trade was 77 tonnes.  

According to trade analysts, Acumen Capital Markets, the most active cardamom January futures dropped by 3.31 per cent or Rs112 when last traded at Rs 3275 on Thursday.

Published on December 20, 2019
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