Lower arrivals continue to witness cardamom auctions, even as the market has started witnessing a positive sentiment thanks to the upcoming Holi festival season.

This was evident in Monday’s auction when prices advanced further by Rs 70/kg across all categories following a revival of upcountry demand.

However, the quantity offered on Tuesday at Bodinayakanur was only 50 tonnes and traders hope that the market is likely to be stable especially with the surge in upcountry buyer participation.

They pointed out that January was considered as a lean month for cardamom demand in many upcountry markets following the extreme climatic conditions in North India. But relief from that severe weather conditions in many parts of the country is a contributing factor for reviving the demand, which is expected to continue in the coming days as well.

There is a positive movement after a month-long sluggishness. The sentiments so far were good, which is evident in cardamom movements in the wholesale markets of Delhi and surrounding areas, traders said.

In the morning session, the auctioneers Cardamom Growers Federation has offered 14 tonnes, while the offer made by KCPMC was 36 tonnes.

Trade analysts Acumen Capital Markets said that cardamom March futures gained by 1.67 per cent or Rs 60.80 to Rs 3697.50 per kg when closed on Monday. The March futures price is showing some weakness on the daily chart.

Related Topics