The prices of jeera (cummin seed) after rising steadily for last four months have declined marginally at the country?s trade centre located at Unjha, Gujarat. This has been attributed to prospects of a good production following the recent rains in parts of Gujarat. According to traders, the price of a 20-kg bag of jeera, which rose from Rs 1,500 in April to Rs 2,450 in July, has marginally declined to around Rs 2,300. The traders said that due to heavy rain, the cultivation would start in Gujarat as per schedule, by the end of October. The cultivation would start in Rajasthan from November prior to the setting in of winter. Rajasthan and Gujarat contribute more than 90% of the total jeera production.
?We expect jeera prices to remain steady over the next few months, as we have around 8 lakh bags as carry- forward stock and the rains have also helped,? Manu Patel, president, Market Yard Merchant Association, Unjha, told FE. The jeera production in the country during 2008-9 is estimated at 2.8 million bags against only 1.6 million bags recorded last year.
Accordingly, the spot prices of jeera at the NCDEX from Rs 12,965 per tonne at the end of July rose to Rs 11,334 per tonne on Tuesday.
With the cultivation expected to be on schedule, jeera production in the country is likely to be around 2.5 million bags next year, enough to meet the domestic demand of 2.2 million bags, another trader from Unjha said.
The country has already exported 3.5 lakh bags of jeera and the export prices are at the range of Rs 1,900 – Rs 2,000 per 20-kg bags. ?There has been a gradual rise in demand in countries like Bangladesh, the Middle East and Europe,? Patel said
According to the Spices Board, the export of jeera increased to 17,750 tonne with a value of Rs 174 crore during April – July 2008 from 5,600 tonne with a value of only Rs 57.59 crore. Meanwhile, the prices of jeera in Syria and Turkey is around Rs 3,200 to Rs 3,400 per 20-kg bag.
India is largest producer, consumer and exporter of jeera. The country produces around 2 lakh tonnes of jeera. Jeera is grown as a rabi or winter crop. Syria is the next biggest producer with a production of 25,000 tonnes.