This was on limited arrivals in the two weeks to September 8, but sluggish domestic and export demand and imports from Sri Lanka kept the price levels in a range, Olam Spices & Vegetable Ingredients observed in a report.
The company noted that rain fall across growing areas remained below normal during August, which is slowly affecting the stock release sentiments for the next three months domestic supply.
“Renewed demand for high BD (bulk density) stock and tight holding of high range stock widened the price gap between low BD and high BD Black pepper. High moisture levels of farm grade arrivals are further weighing the price competency of Indian sales parities over and above the current price disparity with other major origins,” the report added.
Olam Spices predicts that Indian ungarbled black pepper is likely to trade in a range of INR690-720 for the near term based on domestic demand for the next three months versus the stock release pattern by traders and farmers.
Price indications included ungarbled black pepper of 550-560 g/l at INR695-705 (USD10.35-10.50) per kilo and ungarbled of 580-600 g/l at INR700-710/kg.