W5 Sesame Seed Update: Price Decline in China During W5, India Dominates South Korea Sesame Seed Tender, and EU's Sesame Seed Imports Surged by 18% From Jan-23 to Nov-23

EU Witnesses 18% Surge in Sesame Seed Imports from Jan-23 to Nov-23

From Jan-23 to Nov-23, the European Union (EU) 's sesame seed imports increased by 18% year-over-year (YoY) to 20.43 thousand mt compared to 17.30 thousand mt in 2022. The import value reached USD 48.51 million in 2023, an increase of 26% YoY. The average import price for sesame seeds also rose by 7% YoY, increasing from USD 2,227/mt in 2022 to USD 2,375/mt in 2023. These numbers show a growing demand for Indian sesame in the EU market, especially in Nov-23, where the quantity and value of imports increased significantly.

Chinese Sesame Seed Market Witnesses Price Reduction During W5

During W5, the Ethiopian Humera sesame and Togo-99 White sesame prices in China dropped from USD 2,275 per metric ton (RMB 16,200/mt) to USD 2,219/mt (RMB 15,800/mt) ahead of Feb-24 arrivals. The downward trend will continue in Feb-24 due to the off-season demand. Despite the high prices, traders maintain minimal stocks, with 86.3 thousand mt at Qingdao port as of January 22, 2024. China's import data for Dec-23 shows a diverse range of exporters, with Niger, Pakistan, and Myanmar leading.

India Emerges as Top Bidder for South Korea's Tender

South Korea's sesame market saw a 6 thousand mt tender issued on January 11, 2024, while India secured the majority with a 4.5 thousand mt bid, reinforcing its global presence and setting a competitive benchmark with prices ranging between USD 2,049.9/mt and USD 2,142/mt.

Moreover, India's success in the South Korean tender demonstrates its growing influence in the global sesame market. Despite local challenges like water scarcity in Saurashtra, India's sesame imports remain strong, with 90 thousand mt recorded between Sep-23 and Jan-24. The preference for imported sesame over local varieties is driven by competitive pricing, highlighting India's strategic trade decisions in leveraging global market conditions.

Sesame Seed Production and Export Trends Across African Nations

Nigeria anticipates a sesame seed crop ranging from 320 thousand to 350 thousand metric tons (mt), of which approximately 200 thousand mt have already been exported. In contrast, Burkina Faso projects a sesame seed crop size of 150 thousand to 160 thousand mt, with noteworthy export achievements. These statistics underscore these African nations' considerable production capabilities and export opportunities.

Chad has ended its sesame seed harvest, reaching an estimated 75 thousand to 80 thousand mt, marked by substantial exports to China and Turkey. Meanwhile, Tanzania and Mozambique have initiated the sowing process, anticipating sesame seed harvests on May-24, thereby contributing to the expansion of the global supply chain.