Jeera prices rose by 1.84% to $28,765 Wednesday, driven by strong export and domestic demand as well as limited worldwide supply. Farmers holding onto stock in anticipation of higher prices helped to sustain the upward price movement and boost market optimism.
The season’s production is expected to rise by 30% to 8.5-9 lakh tonnes, mainly due to significant land development in important producing states like Gujarat and Rajasthan. As a result, the upside potential is considered limited.
Increased production in Syria, Turkey, and Afghanistan, together with the global growth in cumin production especially in China, where output has more than doubled is anticipated to put pressure on pricing as more supply enters the market. The pricing pressures have also been exacerbated by reduced cumin export activity, which is indicative of changing dynamics in the global cumin trade scene.
The area used for jeera planting has grown dramatically in India; in Gujarat, it has increased by 104%, and in Rajasthan, it has increased by 16%, paving the way for record output levels. It is anticipated that Gujarat alone will yield a record 4.08 lakh tonnes, demonstrating how this year’s output is being driven by more agricultural efforts and favorable weather.
