Commodities

Cardamom market up by ₹20 per kg on strong demand

V. Sajeev Kumar Kochi | Updated on December 11, 2019 Published on December 11, 2019

Cardamom prices was up by ₹20/kg in all varieties on Wednesday's auction due to a prevailing bullish trend in the market.

Both online and offline purchase was strong and steady that resulted in increased buying among upcountry and exporters. According to traders, the recent surge in buying was in anticipation of possible production drop in the coming months, as winter started catching up in the growing regions. This would, in turn, affect the productivity. Normally, additional production in the growing belt can be seen with good rains.

Since the season for North East monsoon is coming to an end, buyers are not expecting any additional production in this fag end of this season. Hence there was a maximum buying till the new crop comes to the auction in a couple of months, traders said.

The total quantity on offer in the auction at Spices Park, Puttady was 80 tonnes with a combined average price of ₹2943 per kg.

The auctioneers South Indian Green Cardamom Company Ltd offered 68 tonnes of 296 lots in the morning auction. The average price realised was ₹2,964 per kg and selected lots received the highest price tag of ₹3,257 per kg.

In the afternoon trade, the auctioneers Green House, Puliyanmala offered 12.79 tonnes and out of this, 12.46 tonnes realised an average price of ₹2,921.67 per kg. Of the 109 lots, selected lots realised a higher price of ₹3,109 per kg.

According to trade analysts Acumen Capital Markets, the most active cardamom January futures fell by 3 per cent per cent or ₹92.9 when last traded at ₹3,006 on Wednesday.

Published on December 11, 2019
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