The slight increase of FOB price offering of vanilla beans by Indonesian suppliers to anticipate surging demand

A recent storm that affected the vanilla beans plantations in Madagascar has led to a slight increase in the FOB price offering of vanilla beans by the suppliers in Indonesia. In the first 3 weeks of October 2020, this commodity was offered at the average price of USD 120/Kg, whereas this week, vanilla beans are offered at USD 130/Kg, or around an 8.3% increase from its previous price. Most of the suppliers argued that the limited supply of vanilla beans from Madagascar might lead to most of the international buyers shifting their sourcing preference to Indonesia, so rising the price slightly was considered to be a preparatory move to anticipate the possible surging demand in the near future.