Agri Business

Cardamom drop prices at Bodinayakanur auctions due to holiday mood

Our Bureau Kochi | Updated on January 17, 2020 Published on January 17, 2020

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The holiday mood seems to have dampened the spirit of cardamom auctions on Friday at Bodinayakanur, which reported a drop of Rs 50 per kg across all categories in the afternoon trade. However, the market remained steady in the morning session because of limited arrivals at 10.46 tonnes.

According to traders, most of the upcountry buyers have stayed away from the market and the Pongal season kept local buyers away from the market. As upcountry buyers were inactive, there was a subdued demand for online sales. The market before the commencement of the auctions had expected a price boom because of low arrivals at 51 tonnes in the two trading sessions.

The market has continue to witness low arrivals in the last couple of days due to Pongal festival as majority growers and workers are Tamil oriented. Majority of them are holding their stock and the normal market operations are expected to resume only by Monday.

Meanwhile, a dry and humid weather prevailing in cardamom growing tracts and the absence of sufficient showers in the last 40 days is expected to boost the sentiments in the market, which would also have a reflection on prices, traders said.

Despite a lean month, the trade is expecting one more round of crop as final round of harvest starts by mid January in this season.

In the morning session, the auctioneers' GreenHouse Cardamom offered 10.46 tonnes and the quantity sold was 8.85 tonnes. The average price realised was Rs 3, 944.19 per kg. There were 89 lots and selected lots received a maximum price tag of Rs 4, 292 per kg.

In the afternoon session, the auctioneers South Indian Green Cardamom Company Ltd offered 41.35 tonnes and of this, 40 tonnes sold. The average price realised was Rs3899 per kg. There were 176 lots and selected lots realised a higher price tag of Rs 4, 229 per kg.

Trade analysts Acumen Capital Markets said that the most active cardamom futures rose by 3.23 per cent or Rs 123.7 to Rs 3,943.70 when closed on Thursday. The February futures price is showing a bullish trend.

Published on January 17, 2020
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