The downtrend in the yellow spice prices in Erode market continues owing to the weakening demand and steady arrivals. The prices fell below Rs. 9,000 per quintal at the end of the last week. The prices dropped by Rs. 300 to Rs.400 a quintal during the trade on Monday alone.
The daily arrivals in Erode market hovers between 10,000 and 15,000 bags. But the demand for turmeric in the domestic and export markets has gone down, which led to the drop in the prices. “We expect the prices to further drop by another Rs. 300 during this week. The prices now hover between Rs. 8,800 and Rs. 9,000 a quintal,” Erode Turmeric Merchants Association president RKV Ravishankar said.
The decline in the prices has upset the turmeric farming community in the district, which has hoped that the yellow spice will bring in better fortune this year too.
Last year, the prices had crossed Rs. 16,000 a quintal, making many turmeric farmers in Erode district richer. The bullish market had encouraged the farmers to double the acreage under turmeric cultivation in the district. Over 10,000 hectares have been brought under the crop during the last year.
There was a strong expectation among the farmers that the prices of the yellow spice would not go below Rs. 9,000 a quintal.
“But we see the prices continue to decline during the last two weeks. If this trend continues, we may not be able to get remunerative prices for our produce,” turmeric farmers fear.
As a result, many farmers in the district are planning to keep their produce in stock and sell it when the prices go up once again.
Keywords: turmeric cultivation