Export orders coupled with improved domestic demand have pushed up cardamom prices at last week auctions. For the first time after three months, the individual auction average price crossed ₹600 a kg.

If the dry weather conditions, which have been prevailing for over a month, if continue, it would result in a break in the harvesting with the completion of the current round of picking. Thus, there will be a lean season of 3-4 months i.e., until the arrival of the next crop. Such a scenario is emerging after a few years, growers claimed.

At the same time, exporters have good orders but there is a shortage of the exportable variety capsules, they said. An estimated 60 tonnes of cardamom were bought by them last week. In the international market, India is the only supplier of good variety cardamom. Guatemala is the other source. Even though it has a good crop, availability of a comparatively good variety is limited. Hence, chances for orders coming to India are better, they said.

Next harvest in Guatemala is in September-October, traders said.

Upcountry buyers are also actively looking at the prevailing weather conditions. The likely gap between the current crop and the next crop would pave the way for a bullish sentiment in the market.

At the same time, the crop this season has been very good. During April 1-January 31, a total of 19,276 tonnes of cardamom were traded at auctions against 12,449 tonnes in the same period a year ago. As a result, the weighted auction average fell to ₹600 a kg against about ₹775 at this time of previous season. The weighted average price as on February 2 was ₹593.27 (₹773.35). At the Sunday auction the arrivals stood at 91 tonnes and the entire quantity was sold. The maximum price stood at ₹891 and the minimum at ₹408 a kg. The auction average increased to ₹626 a kg, PC Punnoose, General Manager, CPMC, told Business Line.

Prices of graded varieties (₹/kg): AGEB 765-775; AGB 610-615; AGS 565-575 and AGS -1: 545-555.

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