CARDAMON PRICES MAY RISE OVER RS 2000 PER K.G THIS YEAR

CARDAMON PRICES MAY RISE OVER RS 2000 PER K.G THIS YEAR

'We expect cardamom prices may rise to over Rs 2,000 per kg in the days to come even before the new season beginsin August from the present Rs 1,185 per kg, following crop failure due to weather woes,' Cardammom trader Dinesh Guptatold.The country may also see a shortage of supply in local market due to higher exports from India owing to reported crop
failure in Guatemala, Gupta said.MCX quality cardamom is being traded at Rs 1,070-1,200 per kg in the physical market. The price already shot up toRs 1,350 per kg fortnight back in the local market.Traders say that good grade of cardamom prices will rise further as stocks are hard to come by.'The irratic weather conditions have made the planters anxious for their new season's crop at Idukki district in Kerala. Idukki is the main centre for cardamom in India. Lack of rainfall during this season has already damaged cardamom crop by more than 40 percent till date,' Gupta said.

Generally, harvesting of cardamom starts from July every year. Cardamom plant requires summer showers for new offshoots to grow resulting in new pods of cardamom.
'Due to 4 months of no rainfall, the plants have been damaged to such an extent that new offshoots are not growingas desired. Most planters, who have no irrigation facilities, have lost nearly all their plants and offshoots,' Cardamom Planters Association President Subramanian said.New season harvest estimates by planters body is 9,000 tonnes only.However, one welcome step was that the Indian exports of cardamom this season had been the highest recorded in over
a decade.Unexpectedly, Indian exports to the Gulf and other countries have increased substantially within one year.Exports have risen from approximately 1,200 tonnes in season 2010-11 to above 4,000 tonnes in 7 months of 2011-12 season, Gupta said.

Noby Jose - exporter and trader says, 'Export figures are estimated to cross 5,500-6,000 tonnes by the end of this season. India witnessed a phenomenal increase in exports by 400 per cent over the last year. Spices Board report also shows an export of 3,900 tonnes from August 2011 to January 2012'.One main reason for such high exports from India is attributed to crop failure in Guatemala, the world's highest producer of cardamom, which produces nearly 55-60 per cent of total cardamom production globally, Jose said.Guatemala crop is severely damaged due to lack of pest control. As per information gathered, plants have been damaged substantially, and will need to be re-planted for new harvest to happen. Guatemala supplies have been very small and limited to gulf countries, who are one of main consumers of cardamom.

                                             Prof. John Kurakar