Due to heavy rains, sesame crops have failed in many parts of China, forcing traders to import the commodity.
Gujarat, particularly the Saurashtra region, is a major producer of the seed.
Sesame seed production in the state is expected to be around three lakh tonne this year.
The huge purchase of sesame seeds by Tanzania and China has lifted the prices of the seeds by 20 per cent.
The prices have gone up to Rs 645 per tonne from Rs 542.
The prices are likely to touch Rs 550 per tonne, traders said.
Timely and good monsoon has helped the Indian farmers get substantial prices for sesame seed this year.
China is the top producer of sesame seed among the five major sesame seed-producing countries of the world.
Heavy rains and floods in that country ruined the crop this year and China is importing the seeds from India for the first time.
Rajkot Marketing Yard is a key centre for wholesale trading of sesame seeds.
Buyers and dealers from China have purchased around 8,000 tonnes of sesame seeds from the market in the last few days.
Himatbhai Davda, a trader, said he has entered into an agreement with traders from Tanzania to supply 1,000 tonne sesame seeds.
The entry of merchants from China and Tanzania into the market has brought some cheers to the farmers and traders as the demand and prices are going up steadily.