Cardamom exports head for a record

KOCHI: The Indian cardamom is virtually ruling the global market. Export are at a high with shipments having crossed 2,500 tonne this year and heading towards a new record.

A spurt in exports has brought cheer to the growers who were not happy about the prices hovering around Rs 500 per kg.

When auctions were disrupted for over three weeks in December due to the stand-off between Tamil Nadu and Kerala over the Mullaperiyar dam, the prices had slumped to Rs 350 per kg. The breakeven price is around Rs 800 per kg but growers are not complaining as the demand is still good.

After reaching 1,975 tonne in 2009-10, cardamom exports had plunged to 1,175 tonne in the subsequent year. Apart from competition from Guatemala, high prices in the domestic market were cited as the reason. Local prices had even touched 1,700 per kg. Till 2011 December, traders say, exports have crossed 2,500 tonne.

Another 500-1,000 tonne may be exported by March end, they say. "Inferior quality of Guatemalan cardamom has helped Indian exports. There is a good demand for the Indian cardamom,'' said leading exporter SPGR Nithyanandan.

Once auctions resumed in the last week of December, prices began to improve. But growers were expecting it to rise further. "The current price levels are good for overseas shipments as exporters can buy the goods and sell at a competitive price in the world market," said P C Punnoose, general manager of Kerala Cardamom Processing and Marketing Co-operative Society.