Bangladesh: Cardamom prices drop as demand falls, credit sales halt

Published 2024년 8월 17일

Tridge summary

Cardamom prices in Bangladesh have dropped significantly due to reduced demand and halted credit sales, with the price falling by over Tk500 per kg in the past month. This is due to market trust issues and a surplus of cardamom. The price instability was exacerbated by excessive trading in future delivery promises, leading to a near halt in cashless trading and losses for some traders. Meanwhile, Indian onions are selling at a lower price in the market due to the presence of Chinese and Pakistani onions, and traders expect spice raw material prices to decrease due to increased supply and reduced market activity.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Cardamom prices have dropped significantly over the past month due to reduced demand and halted credit sales. The price has fallen by more than Tk500 per kg, with current rates in Chattogram's Khatunganj, the country's largest wholesale market for consumer goods, ranging from Tk2,500 to Tk2,900 per kg. Just a month ago, the price was between Tk3,300 and Tk3,800 per kg, and it even peaked at Tk4,000 after the last Ramadan Eid. Mir Nasir, owner of the Mir Group, a spice importer in Khatunganj, told The Business Standard that market trust issues have led to cash-only sales. He explained, "With fewer events and restaurant activities over the past two months, the cardamom market is slow. The price is dropping because there is more stock than demand." Despite an annual cardamom demand of fewer than 8,000 tonnes, over 1,000 tonnes were traded daily through delivery orders (DO) in Khatunganj, Chattogram last June. This excessive trading, often based on informal DO slips, destabilised the ...

Source: TBS