Latest Cardamom News arouns the world
Indian Cardamom export to get a push with price decline
The traders and farmers??? fraternity are worried about a sudden plunge in cardamom prices in the ongoing lean season. After hitting a high of Rs 1,500 per kg in last two years, cardamom prices are fluctuating between Rs 750 and Rs 800. On the other hand, low prices could augur well for exports. The prices which were hovering around Rs 1,000 per kg last week has dropped to around Rs 700 per kg. The price drop can be attributed to heavy supplies during the May lean season.
An early rain during the year adds incremental supply in the lean season. Cardamom harvest normally starts in month of July but early rains may advance the harvest in month of June, resulting in low prices in the next few weeks.
In May last year, Cardamom prices were hovering around Rs 1,100 per kg. They climbed to Rs 1,500 per kg before stabilizing around Rs 1,000 per kg. With the expectation of better prices in May, planters have held over their stocks but are now forced to sell them at lower prices before the next season. This low price gives a push to exports. Cardamom export fell to 865 tonne for the 11-month period ended February 2011 compared with a record 1,975-tonne shipment in 2009-10.
The largest cardamom producer - Guatemala, is step ahead of India in the international market with low prices during the year. Guatemala sold cardamom for around $23 per kg, which was $3-4 lower than the Indian prices. However, the country will not be able to take full advantage of the drop in domestic prices till the new crop arrives.
Besides huge stocks remaining with planters are getting released to the market now but most of them are not of exportable quality as the inventory has been with the producers for some time. Cardamom with faded green colour doesn???t have good demand, in the main market of Saudi Arabia.
In the last two years the planters made a lot of money due to high prices, so most of the planters are now reluctant to sell below Rs 1,000 per kg. Better stock will be available for exports when supplies pick up by July. Spices Board is closely monitoring the situation as the price plunge was unexpected.
Gulf Cooperation Council ( GCC ) Trade News
India holds 40 p.c. of Dubai export market
Dubai export markets by value are highly concentrated in India and Switzerland, comprising 40 per cent and 20 per cent, respectively, a government agency has said.
According to Dubai Exports, an agency of the Department of Economic Development (DED), this has been due to the export of gold to these countries, whereas other direct exports go mainly to Gulf Cooperation Council (GCC) and the neighboring countries in small shares.
“While India still took the biggest portion of 36 per cent of direct re-exports, there was a clear pattern of re-exports relative focus in Iran and Iraq with 17 per cent and 5 per cent shares respectively, including a number of other markets in small shares,” DED said in a statement.
According to the statement, Dubai trade with its partners continued to grow, while some new export markets emerged as potentially important for Dubai, including Brazil, South Africa, Kazakhstan and Australia.
Also, based on trade flows, the report highlighted some trade opportunities with Free Trade countries that can benefit from free duties.
It said that in 2010, Dubai has been exporting diverse products, such as gold and precious metals, sugar, plastics & food, in various target export markets particularly in South and West Asia.
Courtesy : The Hindu
Qatar- Retailers cash in as sale of dry food rises
Ramadan season is proving profitable for those in the business of dry food in Qatar this year as well.
Despite an average price rise ranging between 15 and 20% for most dry fruits and related foodstuff business in Qatar has exceeded the expectations of most suppliers.
Thanks to the generosity of many affluent locals, most hypermarkets are receiving good patronage. Qatari patrons eagerness to fulfill their Zakat obligations has boosted sales of all dry food items.
According to information from retail outlets and hypermarkets, the demand for dry food packets of 250gms and above has skyrocketed and the trend is likely to continue throughout the season. "There are a number of Qataris who make bulk purchases of such packets to be given away as Zakat to people from economically weaker sections," said a hypermarket official. "For instance, on the eve of Ramadan, we received at least 50 orders for bulk purchase of dry food stuffs from our loyal customers, "he said.
Reliable sources in the retail industry said Zakat bills incurred on the purchase of dry food stuffs to be distributed among poorer sections by many affluent local homes run into hundreds of thousands of riyals. Even if poor people go to the homes of their benefactors every day during the period, the benefactor would be only too happy to supply them with packets of dry foodstuff, said a senior retailer.
If one really needs to get a real feel of Zakat, he needs to go to the Qatari localities outside the city like Rayyan, Muaither and Wakra where many affluent families are concentrated, he said.
Speaking to Gulf Times, at least two major local suppliers said business was exceptionally good in the fortnight before the commencement of Ramadan and they expect the trend to continue at least until two weeks after Eid.
"The two-month period starting at least a fortnight ahead of the Ramadan is the time when our supplies hit the highest levels. As in the other GCC states, at least one-third of the whole business of dry food stuff for the whole year is usually carried out during this period," said a senior official of an importing firm. He said companies like theirs deploy more personnel for packing and delivery during the Ramadan period.
Active local players said the prices of cashew nut, almonds, walnuts, pista, cloves, dry grapes, cardamom, black pepper and all similar items have gone up this year as there was a heavy fall in their production in countries of origin. "Even though adequate quantities of most of these items were imported this year, exporters raised their prices," said a senior official of Modern Food Centre, a local importer.
Cashew nuts are mostly imported from India and a major crop failure in Vietnam led to an increased demand for kernels from Kerala, according to the importer. Similarly, the global fall in production of almonds and pista increased the import costs for the two products, mainly from USA. Though some quantity was brought from Iran it was just barely enough to meet the requirements of the local market.
The demand for grams and pulses usually touch record levels in the two month period. Apart from India, grams and pulses are mostly imported from Myanmar and Thailand.
The massive fall in the production of shabeeb (dry grapes) in Iran, from where much of the item is imported has resulted in at least 25-35% hike in their prices. "Despite this, the demand for dry grapes has been excellent this time," said an importer. One kilo of Shabeeb at whole sale costs QR12 or more this year. When it reaches retail outlets, prices will double.
The Other Side of the Chinese Currency Debate
David Barboza covers two opposing sides in the ongoing U.S.-China currency spats in the NY Times today. We commend Barboza for highlighting the perspective of U.S. importers and the consumers who buy from them, interests we rarely hear over the loud voices in the media, politicians and U.S. manufacturers calling for China to let the yuan appreciate.
In particular, he profiles PS Brands http://www.importgenius.com/importers/ps-brands-llc.html), one of the largest sock importers in the country. A devalued dollar will dramatically increase the company’s costs, and its unlikely they could pass the entire difference on to the consumer. Indeed, the fear of a strongly devalued U.S. dollar has made Chinese manufacturers reluctant to sign contracts longer than 30-40 days.
PS Brands story is all too common, yet rarely reported on. Cheap Chinese currency has subsidized the American way of life, allowing Wal Mart to sell the “necessities” for ridiculously low prices. A revaluation would like cause a major retrenchment of the American retail sector, resulting in massive job losses and higher prices for customers.
The side of the debate we are more used to hearing about is that of American exporters (yes, there are still a few left). In his article, Barboza highlights the story of Staco Systems, who sells parts to state-owned aviation companies in China. A stronger yuan would make Staco’s products much more attractive to Chinese buyers and should help boost sales dramatically.
America’s recent “Quantitative Easing” (a.k.a. printing money and giving it to investors) has already caused the dollar to drop compared to other major currencies. Compared to the Renminbi, however, it’s seen only a moderate decline because Beijing continues to sell its vast horde of dollars at a fixed rate of about 6.63 RMB per dollar.
As long as investors have confidence in Beijing’s ability to continue making this sale, China has the power to peg its currency to the U.S. dollar. With over a trillion dollars in foreign currency reserves and huge trade surpluses, nobody is doubting China’s ability to make good on its promise to continue selling its dollars. Unless of course the political pressure from Washington and other major powers starts to damage trade relations and force China’s hand.
President Obama chided China on its currency policy last week at a summit meeting in Seoul. He asked that they act more responsibly, saying the undervalued Renminbi is “an irritant to a lot of China trading partners and those who are competing with China to sell goods around the world”.
China’s retort was that between 2005 and 2008 the Renminbi rose 20%, but had little effect as the U.S. trade deficit with China continued to widen. The Chinese seem to be arguing that the U.S. is just making excuses for a lazy workforce that can’t compete in a globalized world.
We’ll be following the currency U.S.-China debate closely, as it will have major implications for our clients and our trade data business.
Latest Cashew Nut Price around the world
INTERNATIONAL RAW CASHEW MARKET (per ton)
Benin - $1590 - $1600(yield-48 lbs, Second crop) ; Nigeria - $1290 - $1380
Ghana - $1450 - $1525
Ivory Coast - Not Available
INDIAN RAW CASHEW MARKET(per kilo)
Kerala - 76 to 78 (Driage-8.5%); 80 to 81 (Driage-6%)
Karnataka - 75 to 77
Maharashtra - 81.5 to 83.5
Goa - 85.5
Cashew Kernel F.O.B Market(Standard Grading) ( Per Pound)
W240 - $4.55 to $4.72
W320 - $4.08 to $4.25
W450 - $3.75 to $3.90
( Grades far-Below International Standards May Not Get These Rates)
Indian Cashew Kernel Market (per tin of 11.34 kgs)
Grade- Price(Karnataka – India )
W180 - 7500
W210 - 6500
W240 - 5900
W320 - 5200
W400 - 4800 Splits - 4850 ( Jumbo ) Pieces-4550 (K)
Grade- Price(Kerala – India )
W180 - 7100
W210 - 6200
W240 - 5600
W320 - 4850
Splits - 4600 (Jumbo )
Splits - 4450 (Average ) Pieces -4400 ( Special Large)
Pieces -4250 (Average Large)
Grade- Price(Goa – India ) - SALES TAX EXTRA
W180 - 7700
W210 - 6700
W240 - 6100
W320 - 5400
Splits - 5050
Pieces - 4700 (Large)
Indian Cashew Kernel Price Steady But Supply Shortage May Push Prices Higher
Contrary to all expectations, market for cashew kernel is stagnant due to lack of buyers activity and sellers reluctance to sell. Most processors are busy with raw cashew procurement and storage. Many of them are not interested in bulk kernel sales nor in kernel price rise during this main raw cashew nut season. But many holidays in this week in Kerala state, may push cashew kernel prices by next week. Right now, there is once again slight supply shortage in cashew kernel.
NB: This page will be updated withe latest Cashew nut price daily.
Latest Indian Black Pepper News
Black Pepper Global Market Weekly Review
The Pepper market was very dynamic during the week and prices increased at all origins. This was due to anticipated short supply during this year crops.
In Brazil, local prices increased significantly by 11%. Fob price for ASTA quality increased by USD 150 per mt on Tuesday, the 5 April 2011 from USD 5,600 prevailed at beginning of the week.
In India, the market was active and prices increased by around 5-6% both in local, fob as well as in futures market. MG-1 quoted at $ 6100 PMT FOB Cochin ( India ) .
In HCMC, export prices were stronger, recording an increase of 11-12%, while local price of black pepper in HCMC increased by 8%. In Lampung, the market was also active, but transaction was very limited in view of tight stocks position. Local prices of black pepper increased almost daily. Compared to last week's prices, the local price increased by 8%, while fob price increased by 5%.
In Sarawak and Sri Lanka, marginal increase by 1% was recorded. The market for white pepper has also gained a momentum during the week.
In Vietnam, white pepper prices have experienced a dramatic increase of 14% locally and 13% fob. In Bangka and Hainan, prices increased by 4%, while in Sarawak the increase was only 1%.
Courtesy : IndiaInfoline
Pepper market turns volatile as Vietnam farmers hold crop
The pepper market is plagued by uncertainty due to tight supply. The market prices for both white and black pepper have risen by more than $600 per tonne in both Vietnam and Indonesia in the last one week.
India continues to be the cheaper origin with better availability from exchanges than the physical market, traders said.
“With Vietnam farmers holding on to pepper, global availability is very low. Even firms operating from Vietnam are finding it difficult to procure pepper,” P Nandakumar, a trade consultant from Kochi said.
“Getting even one container of good quality pepper is difficult,” he added. Vietnam used to sell nearly 10,000 tonne of pepper in the first few months after harvest.
According to figures available in the trade circles, Vietnam has sold 25,168 tonne of pepper in the first three months of 2011, with US buying 3300 tonne and Germany 3,400 tonne.
NB : This webpage will be updated daily with lates news about pepper and pepper trade.