Jeera prices increase over 50% due to Chinese demand

Jeera prices have increased by more than 50 percent to ₹47,570 quintals so far this year due to continued export demand, especially from China.

The amount of cumin bought by China was large enough to create a supply-satisfaction challenge for exporters. In the past three weeks, China has bought 300 to 350 containers of cumin from India.

Bangladesh also made large purchases of this commodity. At present, the domestic demand for cumin was only 15 to 20 percent more than the normal demand.

The Kidia Commodities report said that due to high demand in China and low cumin production, cumin stocks in the country’s processing centers appear to be significantly low.

With limited supplies compared to strong demand, prices increase, although profitability remains constant. She added that the estimated cumin crop arrival in April is expected to range from 5.5 to 6 million bags, but based on the cumin crop arrival figures in April, the forecast is now around 5 million bags.

In Unjha, the latency was 30,000 to 35,000 bags per day a month ago, but now it’s down to 7,000 to 8,000 bags per day. Rajasthan also sees the arrival of 7,000 to 8,000 bags.

About 60 to 65 percent of the crop actually reached Rajasthan and about 65 to 70 percent was in Gujarat. Of the 50 million bags of cumin crop, 28 to 30 million bags have already reached the market.

Currently, there is a decline in domestic demand as it declines after the start of the mango season every year.

Despite the significant growth in demand for cumin, arrivals in Anja and the whole country are not keeping pace, which indicates an upward trajectory in prices.

The cumin carry-over stock was no more than 5 to 7 lakh sacks. According to the research report, the strong export demand for Packred is likely to continue until May 20th, which will lead to the continuation of the upward trend in latency until May 15th.

The new crop will arrive from Syria and Afghanistan after June 15-20.

The cumin crop in Afghanistan is expected to be larger than the previous year. Moreover, Syrian cumin traders expect a harvest of between 20,000 and 30,000 tons, which is the largest crop in the past ten years, provided that the weather remains favorable in Syria for the next month.

The report said that the abundance of cumin production in Syria after May 20 will put pressure on prices.