The production is estimated around 82 lakh bags, says Nalini Rao of Angel Commodities. Rao says it is quite high when compared with the previous production of 69 lakh bags.
The carry-over stock at this point of time is also double the stock during last year. We estimate the stocks at 12-13 lakh bags as against 6-7 lakh bags during the same period of last year, she added.
The new crop will be the highest in our history and together with the existing stocks will pressurise the market. I expect the prices to touch R3000 per quintal by April- May, RK Viswanathan of Erode Turmeric Merchants Association said. The spot prices in the Erode market currently range between R 4500-4800 per quintal. Arrivals range between 8,000-9,000 bags every day, he added.
The commodity cycle has come full circle for turmeric. The price will touch the bottom by May .We were experiencing good price for the commodity in the last few years, N Raveendaran, national consultant of National Agricultural Innovation Project (NAIP) at the Centre for Agricultural and Rural Development Studies of Tamil Nadu Agricultural University (TNAU) said.
According to TNAU data, during April 2009 turmeric was selling around R5,200 per quintal. In April 2010 it increased to R12, 500 and during December 2010 it was trading in the range of R16,500-17,000. Once in every five years, turmeric prices touch the minimum and the maximum, he added.
Turmeric exports during the first six months of the current FY is higher by 46% in volume and 16% in value when compared with the same period of last FY. Indian turmeric has the highest curcumin content and is preferred by the extractors and grinders. Consumption of the commodity has been increasing robustly due to increasing usage in medicinal and cosmetic industry.