'Turmeric prices to soften in next few weeks'

Turmeric prices, which shot up by more than two fold in the last one year, are expected to come down in the next weeks on increased production estimates, according to a report.  

According to a report by National Colleteral Management Services Ltd, "better crop output, fall in demand at higher levels and weak exports will pressurise prices in the coming week."  

The report said, sowing area in major producing states are expected to gain pace in mid-January. This may lead to further fall in prices. 

According to traders, good rains in key growing areas of Andhra Pradesh and Karnataka raised possibilities of better crop this year.

The production of turmeric in the country is expected to grow up to 70 lakh bags of 170 kg each compared with 45 lakh bags in the last season.   

As per the data available with the Spices Board, average turmeric prices had rose by more than two folds during the first eight months of current fiscal (April-November period) to Rs 140 per kg.

The prices of turmeric in country's largest spot market, Nizamabad, rose by more than two folds to Rs 164 per kg in the last one year.

The sharp increase in the prices of turmeric also resulted in the decline in overall export of the commodity from the country.   

According to the Spices Board, the export of spices decline by over 11 per cent to 33,000 tonnes in April-November period of the current fiscal as compared to 37,250 tonnes in the similar period, last fiscal.