Friday, June 6, 2008

Pepper Exports Fetch Rs 213 Cr More In 2007-08 - June 6, 2008

Coonoor: Despite rupee appreciation and unsteady commodity market movements, India regained its prominence in global pepper trade in 2007-08, an analysis of the latest information available with the Spices Board and exporters reveals.

India earned Rs 213.30 crore more from pepper exports in 2007-08 over the previous fiscal.

Global short supplies created market buoyancy. Competitive suppliers such as Vietnam chose cautious selling. Collectively, demand gained strength and pushed up the prices. The average price of black pepper in the US rose to $4.05 a kg from $2.62 in 2006-07.

India’s prudent exporters used the opportunity to their advantage and elevated the trade with quality supplies which fetched mentionable demand.

As much as 35,000 tonnes of Indian pepper were bought by importers at an average price of Rs 148.43 a kg against 28,750 tonnes at Rs 106.50 in the previous fiscal. Consequently, India earned Rs 519.50 crore in 2007-08 against Rs 306.20 crore.

This meant a sharp increase of 70 per cent in value earned from an increase of 22 per cent in volume.

“This was the highest export of pepper from India in both volume and value in the new millennium,” Spices Board has noted.

The major importers of Indian pepper were the US, the UK, Italy, Germany and Canada.

The achievement was significant enough to surpass the target. The Board had fixed a target of 30,000 tonnes of export to earn Rs 450 crore. This meant that the achievement was 117 per cent of targeted volume and 115 per cent of targeted value.

Pepper prices continue to rule high throwing bright prospects for the current fiscal. In the domestic market, some future contracts have been entered into for Rs 149 a kg for July, Rs 152 for August and Rs 154 for September.

The US market continues to quote around $4.07 a kg. Some August-December deliveries have been contracted for $4.13 a kg. On an average, this is $1.50 more per kg than the 2006-07 levels.

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