Commodities

Sentiments and buyer participation lift cardamom prices

V Sajeev Kumar Kochi | Updated on February 03, 2020 Published on February 03, 2020

Sentiments over rising temperatures in the growing regions, coupled with increased participation of upcountry and local buyers, lifted cardamom prices by ₹100 a kg across all categories in Bodinayakanur auctions on Monday.

Earlier in the day, traders had voiced concern over lower buyer participation, but their increased presence today has rekindled some hopes. This is evident in the upward price trend in both the trading sessions, which realised a combined average price of ₹3,489 per kg compared with ₹3,465 in the previous auction. The total arrivals also rose to 82.2 tonnes from 47.5 tonnes.

According to traders, temperatures rising above 32 degrees Celsius would reduce water levels in the growing areas. The market, of late, has been witnessing slow demand due to the absence of sales happening across the trade centres. This has affected the prices, which reported a declining trend in the last couple of days. Presence of inferior quality capsules from the current harvest at the fag end of the season also impacted prices.

In the morning session, auctioneers Mas Enterprises Ltd offered 41.4 tonnes of 213 lots in which 40.6 tonnes realised an average price of ₹3,489. The highest price quoted for selected lots was ₹3,801.

The offer made by the second auctioneer Header Systems (India) Ltd was 40.7 tonnes in which 39.7 tonnes realised an average price of ₹3,489.8. The highest price quoted for selected lots was ₹3,811.

Trade analysts Acumen Capital Markets said that most active cardamom March futures fell by 1.02 per cent or ₹38.1 to ₹3,680 when last traded on Monday.

Published on February 03, 2020
  1. Comments will be moderated by The Hindu Business Line editorial team.
  2. Comments that are abusive, personal, incendiary or irrelevant cannot be published.
  3. Please write complete sentences. Do not type comments in all capital letters, or in all lower case letters, or using abbreviated text. (example: u cannot substitute for you, d is not 'the', n is not 'and').
  4. We may remove hyperlinks within comments.
  5. Please use a genuine email ID and provide your name, to avoid rejection.