Pepper arrivals to Kochi has started shrinking due to inclement weather in many growing regions. The off-take on Monday was 11 tonnes and the prices was up by ₹1 per kg due to hindrances in the supply side, say traders.

However, the demand is picking up in many North Indian markets after Janmasthami and Bakra-eid as expected, but matching supply is not there because of lower arrivals from the growing regions, said Kishore Shamji of Kishor Spices. The consumer buying of pepper for medicinal use appears to be on the rise as well as from medicinal manufacturers along with end-users, he said.

However, pepper prices are increasing only in a small fraction because of the availability of Sri Lankan container every alternate day in the market imported at minimum import price. The prices are likely to move up if the demand continues to pick up. But it would depend on the supply side as well. If the importers release more pepper into the market, the rates are unlikely to show any up-trend. The market is currently witnessing more buyers than sellers, he said.