Contrary to the expectations of a stable market, rains have put a stop to the steady pace of prices at cardamom auctions on Monday at Spices Park in Puttady.

According to traders, there was a drop of Rs50 per kg in all categories following a weak demand. Even the presence of well known auctioneers who ensure on quality has not helped the market. Though the North Indian buyers were active, exporters demand was subdued, as they are on a wait and watch mode.

Rains in cardamom growing tracks coupled with mist, drizzling in the last couple of days are favourable factors for fruit settings. This might have forced buyers to stay away from the market in anticipation of a new crop. Besides, heavy arrivals and high price realisation during the last week also made an impact on the liquidity of traders, as cardamom trade was conducted on a cash and carry mode, traders said.

The total arrivals both in the morning and afternoon sessions were 102.6 tonnes and realised a combined average price of Rs2,853.44 per kg.

The auctioneers Idukki District Traditional Cardamom Producers Company (IDTCPC) offered 59 tonnes of 262 lots in which 56.6 tonnes realised an average price of Rs2,857.17 per kg. The highest price quoted for selected lots was Rs3,140.

In the evening trade, the auctioneers Vandanmedu GreenGold Cardamom Producer Company (VGCP) offered 43.4 tonnes of 205 lots which realised an average price of Rs 2,849.71 per kg. The highest bid was Rs3128 per kg.

According to trade analysts Acumen Capital Markets, the most active cardamom December futures gained 1.5 per cent or Rs42.50 when last traded at Rs2,870 on Monday.

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