Olam Spices & Vegetable Ingredients observed that Indian cumin seed prices should have eased on reports that sowing in the Gujarat region will be 56% higher than that of last year. However, prices increased due to the sellers’ market in Unjha.
The company’s November 30 report explained that the Unjha market is closed for an indefinite period and the Saurashtra mandis restarted after almost a fortnight following the demonetisation announcement by the central government. “Open auction is closed in Unjha and the trade is directly happening offline at the godowns,” Olam Spices noted.
Overall demand is low, being limited to genuine buyers with near term requirements only, but the prices are constantly increasing in line with the National Commodity & Derivatives Exchange platform.
Price driving factors to watch are the progress of sowing in Rajasthan and the climatic conditions, the company suggested.
Olam Spices forecasts that prices are likely to remain firm and might trade between INR182-190 (USD2.65-2.77) per kilo for 98% purity cumin over the next fortnight. It feels that prices might ease once reports on the sowing intentions of Rajasthan start to emerge.
The company listed farm grade cumin seed at INR175 per kilo; grinding quality of 96% purity at INR180/kg; 98% pure Singapore machine cleaned at INR192/kg; 99% pure Singapore machine cleaned at INR194/kg; 99.5% pure Singapore machine cleaned at INR196/kg; 99.5% pure Europe machine cleaned at INR200/kg; 99.5% pure Europe sortex cleaned at INR208/kg; 99.5% Europe sortex cleaned and allergen free INR215/kg; and 99.5% Integrated Pest Management sortex cleaned and allergen free INR218/kg.