In recent years, traders have endured consistent losses, leading them to sell off a significant portion of their stock. Meanwhile, farmers have shifted their focus to the more lucrative corn and soybean crops, resulting in a decline in turmeric production. Approximately 80-82% of the old stock has been liquidated, creating conditions for an anticipated rise in turmeric prices to ₹100 per kg.
Approximately 80-82% of the old stock has been liquidated, creating conditions for an anticipated rise in turmeric prices to ₹100 per kg.
Southern India's Turmeric Prices and Unfavourable Monsoon Impact:
The prices of turmeric in southern India have experienced a continuous downward trend, leading to a substantial decrease in overall sowing by 40%. The unfavourable monsoon conditions have further compounded the situation, resulting in an expected arrival of approximately 6 million sacks.
Supply and Demand Dynamics:
With traders reducing their stock and farmers prioritizing alternative crops, the turmeric market is poised for increased price stability. The limited availability of turmeric due to decreased production is expected to drive up prices, potentially reaching up to $1200 per ton.
The limited availability of turmeric due to decreased production is expected to drive up prices, potentially reaching up to $1200 per ton.
Outlook for the Turmeric Market:
Given the market dynamics of reduced supply and favourable demand, the turmeric industry is experiencing a transformation. It is crucial for traders and stakeholders to monitor the market closely as the anticipated rise in prices presents opportunities for potential profitability.
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