Turmeric prices have ruled stable below ₹14,000 a quintal over the past few weeks but will likely gain marginally on festival demand, traders and analysts said. “Domestic demand has been lukewarm and the market has stabilised. But festival demand will emerge soon and prices could go up a bit,” said Sunil Patil, proprietor, Varadlaxmi Trading in Sangli, Maharashtra.
“Prices are currently in the range of ₹13,800-14,000. Usually, after May it is a dull period for demand. Local demand may emerge this month,” said RKV Ravishankar, President, Erode Turmeric Merchants Association.
“Prices dropped to ₹12,500 a quintal a couple of weeks ago but have now touched ₹14,000. Over the past couple of months, they have been ruling between ₹14,000 and ₹16,000 a quintal,” said Amrtulal Kataria, a Nizamabad-based trader in Telangana.
Current prices
On Wednesday, October turmeric futures on NCDEX ended at ₹14,168 and December futures at ₹14,716 a quintal. Nizamabad unpolished turmeric was quoted at ₹13,674.05 a quintal. “We may expect buyers to be active at current levels,” said Biplab Sarma, Senior Research Analyst - Commodities (Spices), AgriWatch.
Festival demand will emerge by the month-end and prices could move up, said Ravishankar. “The festival period spans about 40 days. Prices could be under pressure to rise during this period but after November 15, they could cool down,” said Patil.
Export demand
Export demand has helped keep turmeric prices from dropping further. “Export demand has been good,” he said. Kataria concurred with the view.
According to data from the Spices Board of India, turmeric exports during April-May of the current fiscal were lower at 46,497 tonnes compared with 57,557 tonnes a year ago. The value was, however, up 44 per cent on higher per tonne realisation.
Hopes of higher production next year are keeping prices on leash. Some traders have stocks in the pipeline but they are reluctant to sell at current prices. “They had bought them over ₹16,000 a quintal and no one wants to sell below ₹16,500 ,” he said.
Ravishankar said, “The crop could be 30 per cent higher next year.”
Rain impact on crop
Patil concurred with the view saying the outcome could depend on the impact of rains on the turmeric crop in Telangana and Andhra Pradesh. “The yield is likely to be good. If rainfall is higher, probably a minor part of the crop could lose weight,” he said
“In certain turmeric-growing areas of Telangana and Andhra Pradesh, waterlogging of the turmeric crop has been reported, causing around 10 per cent damage to the crops,” said AgriWatch’s Sarma.
Turmeric standing crop is at the growth stage and any further rainfall may increase the damage percentage, he said.
Higher acreage
Nizamabad’s Kataria said the current spell of rainfall in Andhra Pradesh and Telangana would not have much impact on turmeric production. “Andhra Pradesh’s Duggirala has received huge precipitation but growers no more plant turmeric there. In Telangana, there has not been any damage,” he said.
Farmers have brought more area under turmeric this year as they have been receiving remunerative prices this year. The crop was affected by unfavourable weather conditions, mainly a prolonged dry period, during sowing last year.
Production this year is estimated to be below 5 lakh tonnes against 7.35 lakh tonnes a year ago. Patil said April 2025 futures on NCDEX could open at ₹12,500 a quintal or below. “Production and supply will be better next year,” he said.