Yesterday, the price of turmeric saw a slight decrease of -0.17%, ending at 17514, due to profit bookings after recent price increases. Prices had previously been supported by below-normal supply and strong festive demand, resulting in a bullish trade bias. Arrivals in main APMC markets were much fewer this year than the previous year, clearly showing the impact of decreasing production.
This restricted supply will likely drive stockists to purchase turmeric at every price decline. Given the seasonality of turmeric, higher costs are likely to result from celebratory shopping in March. Upcoming festivals and the start of the wedding season are anticipated to encourage consumers to make active purchases.
Reduced cultivated area and falling yields, predicted to be between 9.2 and 9.5 lakh tonnes, are expected to cause a 14% annual production decline. Turmeric exports decreased by 3.52% between April and January of 2024 compared to the same period the year before, with a minor increase from December 2023 to January 2024 but a significant decrease from January 2023.
On the other hand, compared to the same time the year before, imports of turmeric fell by 22.34% between April and January 2024. A notable increase was noted from January 2023 to January 2024, but a reduction was noted from December 2023 to January 2024.
