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Market Insider SPICES MARKET INSIDER
Market Insider
SPICES MARKET INSIDER
Market Insider
Spices
Building awareness and assisting developing countries with access to trade and market information has been at the heart of the International Trade Centre (ITC) work. The Market Insider is a newly branded global public goods service built on a "blog" interface to provide just-in-time content on market prices and industry developments focusing on forward-looking intelligence in anticipation of market opportunities, market dynamics, quality issues, trade events and sector-specific intelligence on commodities of interest to developing countries.
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INDEX
SPICES NEWS AND UPDATES......................................................................................................... 4 MARKET DYNAMICS ......................................................................................................................... 7 PRICES IN THE MARKET PLACE ..................................................................................................... 6
Spices .............................................................................................................................................. 6 PRICES IN THE MARKET PLACE ................................................................................................... 10
Herbs ............................................................................................................................................. 10 STATISTICAL INFORMATION AND RELATED RESOURCES ...................................................... 11 EVENTS ............................................................................................................................................ 19
Spices News and Updates
Green chillies returned At the end of May around six tonnes of green chillies headed for Saudi Arabia were returned to the Agriculture Produce Market Committee (APMC) in Vashi market. The problem, apparently, was a high level of pesticides.
Vanilla season opens in Madagascar
The 2014 vanilla season got underway in the coastal districts of Sava Region in northeast Madagascar. According to newspaper reports opening prices were of the order of 11,000 MGA/kg (about USD4.66) for green pods. L’Express de Madagascar went on to suggest that an early start to the season for prepared vanilla is anticipated.
McCormick boost from overall strong sales McCormick & Company boosted profits in its second quarter. Sales at the spices company climbed 3.1% to $1.03 billion, with consumer business sales, its biggest revenue generator, climbing 4.1% to $615 million, thanks to 76% growth in the Asia-Pacific driven by the purchase of Wuhan Asia-Pacific Condiments Company last year. However, intensifying competition in the North American market led to a 5% fall in consumer sales there, and the company has been taking steps to boost brand awareness.
ADM sets out plans for incorporation of Wild GmbH. Following this week’s announcement that US grains giant Archer Daniels Midland (ADM) is acquiring Swiss food ingredients manufacturer Wild Flavors GmbH., for€2.3 billion, ADM confirmed it will be establishing a new business unit and advisory board. Revenues of about $2.5 billion per year are forecast for the new unit. “It will be a top flavour and specialty ingredients company from day one,” explained ADM ceo Patricia Woertz. “The new unit will include many of our ADM specialty ingredients so we are able to efficiently go to customers with the complete food system. The talents of the WILD Flavors team are essential to this business model.” Woertz also said ADM will retain the key management and they will be part of the new unit leadership. There will also be a new advisory board for this unit, “which Dr Wild and Mike Ponder, CEO of ADM, will join,” she said. The two companies are a good fit culturally, she said, and they both have a big focus on raw materials.
Insights into trends for spicy foods Dutch-based multinational life sciences company Royal DSM published results of a consumer perception survey showing that a preference for spicy foods is uniting urban consumers in many different markets. The survey points to a trend in increasing home consumption of spicy foods. Where once people may have eaten spiced foods in particular ethnic restaurants or when cooked by others, they are now expecting much more richness and intensity in the flavors of their at-home
menus, making spicy tastes a vital area for pre-prepared and processed food manufacturers to explore. In addition, highly spiced snacks have surged in popularity. As the popularity of highly spiced food has grown, the market has responded with a variety of ethnic dishes and snacks. Manufacturers are using spices along with a host of flavors to create appealing dishes that reflect the cuisines of a range of cultures. Creating spiced foods is no longer a matter of adding a single ingredient such as chili or pepper: it is a process of building a complex and satisfying flavor with spicy qualities at its core. Layering is key to achieving this, as is an understanding of what each ingredient adds to the dish or snack’s flavor profile. Layering is more important than ever in spiced foods as continuing innovation in this area of great opportunity will rely on an increased level of sophistication in the delivery of complex, well-balanced flavors, says DSM in its Global Insights Series report. http://tinyurl.com/nomf3fc
Towards a re-structuring of the Madagascan vanilla industry According to local newspaper Midi Madagasikari, exports of vanilla totaled 1,925 tonnes in 2013 yet problems in the industry remain. They quote for example issues of quality and packaging and the need to compete effectively against synthetic alternatives. The Minister of Commerce and Consumer Affairs and his staff met recently with exporters to begin a dialogue on a restructuring of the industry to enhance competitive advantage. As a first step, a framework of stakeholders to involve the whole value chain and better represent the 80,000 families growing vanilla was discussed. Working conditions of farmers were also discussed. The Minister is looking to strengthen synergies between the various government departments that are involved in the vanilla sector and noted that the quality of vanilla from Madagascar remains one of the best in the World.
Vietnam pepper exports and global pepper prices rise The Indian newspaper, the Business Standard, reports news from the Vietnam Pepper Association (VPA) that Vietnamese exports of pepper reached a cumulative 111,395 tonnes during January – June period of the current year, being 100,820 tonnes of black pepper and 10,575 tonnes of white. Meanwhile strong domestic demand and high prices in India had caused Indian exports to fall to 9,500 tonnes during the period. According to the Vietnam Pepper Association (VPA) the total value of exports reached $797 million in which black pepper contributed $694 million and white pepper $103million. This hike was mainly due to the sharp increase in the global price of the commodity for the last year. The average export price of black pepper during the period was $6,885 per tonne and white pepper reached $9,716 per tonne. The biggest advantage of Vietnam is their huge production and the highest productivity across the world. Thanks to these key factors, the country could offer the lowest prices across the world. The Indian prices were higher by $3,000/tonne than the Vietnam’s quotes which literally drove India out of the international market of the spice, said a top Kochi based exporter. Even Indian manufacturers of value added products depend mainly on imported pepper. North Indian markets also sell imported pepper as it is cheaper compared to the local grades. During this year Vietnam is reported to have a total production of around 150,000 tonnes while India’s production confine to less than 35,000 tonnes. Some growers projects a much lower production than this; at around 25,000 tonnes only. The leverage of large scale production and productivity help Vietnam growers to offer world’s lowest price tags.
Vietnam's pepper exports could fetch a record US$1 billion this year, with around 140,000 tonnes of the spice to be exported, according to the Vietnam Pepper Association (VPA). The International Pepper Community (IPC) forecast that global supply to fall by 45,000 tonnes this year to 320,000 tonnes and demand to remain high, keeping prices high. With 50% global market share, Vietnam has been able to dominate the market. Prices in recent weeks have strengthened with traders reporting rises of up to 10% from late June to early July.
Market Dynamics Pepper – Markets continued firm through July. Trading volumes dropped towards the end of the month as Ramadan closed with the Eid al-Fitr holiday. Stocks in Vietnam are tight and held in strong hands. Selling in Brazil has been restrained in anticipation of a late, if normal sized, crop. The International Pepper Community (IPC) reported domestic prices in producing countries as follows: Producer Prices in US$ / ton*
Vanilla – Reports from Madagascar suggest that a sizeable crop is expected with assessment of early arrivals of good quality.
6 Market Insider
Spices
Prices in the market place Spices
All prices are quoted in US$/Kg
MARKET → USA JAPAN EUROPE
PRODUCT GRADE PRICE GRADE PRICE GRADE PRICE
This Week 2 Month
ago 1 Year
Ago This
Week 2 Month
ago 1 Year
Ago This
Week 2 Month
ago 1 Year Ago
Black Pepper
Spot 550g/l Sarawak 11.00 9.50 7.50 Sarawak 10.00 9.40
Mal MG1 13.45 13.00 Mal MG-1 15.00 14.50 9.00 FAQ 550g/l 9.50 8.40
Nearby Delivery 7.61 Lampung Steam Treated 550g/l
Steam treated 550g/l
10.32 8.80 Brazil
White Pepper
Muntok FAQ spot 13.45 11.35 Muntok 15.00 13.50 Muntok FAQ spot 13.60 12.00
Sarawak 16.25 16.00 11.50 Steam treated Muntok spot
Vietnam 13.20 11.15 Vietnam 13.45 11.40
Aniseed Whole China star 6.83 China Star 7.60
Turkish/Syrian 4.08 4.08 Syrian 1% 3.80 3.85
Caraway Canadian 2.20 2.20 FAQ
Dutch Dutch 1.97 1.97
Cardamom Fancy Green 5.76 India AGS1 MYQ 3.00 3.00
Mixed Green India AGS Bold 9.00 9.00
Cassia
Korintji A 3.00 ML/SVO
2.47 China whole 3.00 3.00 2.90 Korintji B Br & Cl
Vera C/W AA 4.52 China broken 2.80 2.80 2.65 Vera AA
Vietnamese 5ML/SVO
Vietnam QNV 3.15 3.15 3.00
Celery Indian spot Indian Indian 99%
Chili Indian S4 2.54 Indian Sanna S4 grade
7 Market Insider
Spices
MARKET → USA JAPAN EUROPE
PRODUCT GRADE PRICE GRADE PRICE GRADE PRICE
This Week 2 Month
ago 1 Year
Ago This
Week 2 Month
ago 1 Year
Ago This
Week 2 Month
ago 1 Year Ago
African fukien 3.97 Chinese Malawi Bird’s Eye 5.00
Cinnamon Ceylon H2 10.36 Sri Lanka C5 SP Sri Lanka c5 cut
Cloves
Sri Lanka hand picked
17.90 Madagascar 15.50 15.50 15.00 Comores / Madagascar
12.72 17.40
Zanzibar Zanzibar 16.00 16.00 15.50
Indo stems
Coriander Bulgarian 1.86 98% East European 1.88 1.97
Canadian 1.87
Cumin
Turkish 2.76 2.76 Turkish 98%
Syrian Syrian 99% 3.15 3.05
Indian Indian Indian 99%
Dill Indian 1.77 Indian 99%
Fennel Fancy Egyptian Egyptian99% 2.61
Indian ASTA 1.99 Indian Indian 99% 2.57
Fenugreek Turkey 1.10 Indian 99% 0.86 0.86
Garlic
Ch. Powder 2.38 Flakes 2.48 2.48
Ch. Granulated 2.60 Powder 2.09 2.09
Granules 2.34 2.34
Ginger
Cochin 5.29 Cochin Cochin 4.30
Chinese sliced Chinese sliced Chinese sliced 4.50 4.50
Chinese peeled 4.63 463 Chinese whole Chinese peeled 4.20 4.30
Nigerian 3.20 3.20 Nigerian 2.35 2.30
Mace
Siauw No 2 siftings
36.27 35.27 Siauw whole 22.50 22.50 29.00 PNG Whole 15.81 16.00
Indonesian
8 Market Insider
Spices
MARKET → USA JAPAN EUROPE
PRODUCT GRADE PRICE GRADE PRICE GRADE PRICE
This Week 2 Month
ago 1 Year
Ago This
Week 2 Month
ago 1 Year
Ago This
Week 2 Month
ago 1 Year Ago
Mustard
No 1 Yellow Canadian
1.57 1.57 Canada Yellow 1.36 1.36
Brown oriental 1.54 1.54 Canada Brown 1.31 1.31
India
Nutmeg
E.I. ABCDs 20.39 20.39 Indo 110's 20.00 20.00 24.00 Indonesian SS 15.20 15.20
E.I. cracked 18.19 WI 110's 16.90
EI ABCDs 16.89
Onion Egypt pow Powder 2.02
India pow Flakes 2.43
Paprika
Spanish 120 ASTA
5.18
Spanish visual Spanish 80 ASTA 2.70 2.70
Hungarian 6.83 Hungarian 100 ASTA
Peru ASTA 2.09 Peru HT90 ASTA
Pimento
Mexico/Guatemala
4.30 4.30 Mexican 4.30 4.80 5.25 Mexico 3.70 4.25
Jamaica 6.95 6.95 Jamaica 6.50 Jamaica 6.80 7.50
Poppy Dutch Dutch 4.38
Australian Turkey
Sesame
Indian Natural
Central American hulled
Indian hulled Indian Hulled
Turmeric
Alleppey 5.25 curcumin
Madras fingers 1.80 1.75 2.00 Madras fingers
Alleppey 5.0 curcumin
Alleppey fingers Powder
Indian ground Indian Rajapuri
9 Market Insider
Spices
MARKET → USA JAPAN EUROPE
PRODUCT GRADE PRICE GRADE PRICE GRADE PRICE
This Week 2 Month
ago 1 Year
Ago This
Week 2 Month
ago 1 Year
Ago This
Week 2 Month
ago 1 Year Ago
Vanilla!
Bourbon Extract/ Gourmet 45.0/ 55.0 1 Vanilla – the prices given here are indicative of the value of bulk sales at origin. Selling prices within Europe are substantially higher as they reflect much smaller quantities that may be specially packaged.
10 Market Insider
Spices
Prices in the market place Herbs
All prices are quoted in US $/Kg
USA EUROPE
PRODUCT GRADE PRICE GRADE PRICE
This Week
2 Month Ago
1Year Ago
This Week
2 Month Ago
1Year Ago
Basil
Egyptian FAQ 3.09 3.09 Egypt 4.05 2.91
Egyptian Extra Fancy Egypt fines
Bay leaves
Turkish Fancy FAQ
Turkish semi select 3.86 3.86 Turkish
semi-select 6.80 5.15
Chervil German 9.68
Dill weed
Egyptian 7.65 1.85 Cut 2.68 2.71
Californian 13.90
Marjoram Egypt Fancy 3.97 3.97 Egypt 5.43 3.88
Mint
Peppermint 5.07
Spearmint 6.50 6.50 Egyptian 6.04 6.12
Oregano Turkish 30# 3.31 6.28 Turkish 7.83 3.45
Parsley
Israeli 6.50 6.50 European
2mm 6.73 6.81
USA 8.16
Rosemary Morocco 1.97 1.96 Morocco 2.17
Spanish Spanish 2.54 2.17
Saffron Spanish Iranian 6,800
Sage Albanian 5.07 5.07 Turkish 6.38 6.46
Savoury Albanian 3.53 German 5.29 5.35
Tarragon French 4.08 27.56 French 24.36 24.67
Thyme Spanish 4.08 3.88 Spanish 3.20
Moroccan 3.88 Moroccan 3.78 3.20
11 Market Insider
Spices
Statistical information and related resources
All statistics sourced UN COMTRADE (http://comtrade.un.org/ )
India spice exports
Exports of cardamoms from India by year and destination
Exports of cinnamon from India by year and destination
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
2009 2010 2011 2012 2013
ton
nes
USA
United Kingdom
United Arab Emirates
Saudi Arabia
Pakistan
World
0
50
100
150
200
250
2009 2010 2011 2012 2013
ton
nes
USA
United Kingdom
Kuwait
Japan
Australia
World
12 Market Insider
Spices
Exports of cloves from India by year and destination
Exports of coriander seed from India by year and destination
0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
2,000
2009 2010 2011 2012 2013
ton
nes
USA
South Africa
Singapore
Pakistan
Australia
World
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
40,000
45,000
50,000
2009 2010 2011 2012 2013
ton
nes
United Arab Emirates
Saudi Arabia
Pakistan
Nepal
Malaysia
World
13 Market Insider
Spices
Exports of cumin seed from India by year and destination
Exports of dried capsicums from India by year and destination
0
20,000
40,000
60,000
80,000
100,000
120,000
140,000
2009 2010 2011 2012 2013
ton
nes
Viet Nam
USA
United Arab Emirates
Egypt
Brazil
World
0
50,000
100,000
150,000
200,000
250,000
300,000
350,000
400,000
2009 2010 2011 2012 2013
ton
nes
USA
Thailand
Sri Lanka
Malaysia
Bangladesh
World
14 Market Insider
Spices
Exports of fennel and juniper berries from India by year and destination
Exports of dried ginger from India by year and destination
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
18,000
20,000
2009 2010 2011 2012
ton
nes
USA
United Arab Emirates
Saudi Arabia
Pakistan
Malaysia
World
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
2009 2010 2011 2012 2013
ton
nes
USA
Spain
Saudi Arabia
Nepal
Bangladesh
World
15 Market Insider
Spices
Exports of mace from India by year and destination
Exports of nutmegs from India by year and destination
0
20
40
60
80
100
120
140
160
180
200
2009 2010 2011 2012 2013
ton
nes
Viet Nam
USA
Saudi Arabia
Netherlands
Germany
World
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
2009 2010 2011 2012 2013
ton
nes
Viet Nam
United Arab Emirates
Singapore
Germany
Brazil
World
16 Market Insider
Spices
Exports of pepper (crushed or ground) from India by year and destination
Exports of pepper (whole) from India by year and destination
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
2009 2010 2011 2012 2013
ton
nes
USA
United Kingdom
Canada
Belgium
Australia
World
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
2009 2010 2011 2012 2013
ton
nes
Viet Nam
USA
Italy
Germany
Canada
World
17 Market Insider
Spices
Exports of turmeric from India by year and destination
Exports of vanilla from India by year and destination
0
20,000
40,000
60,000
80,000
100,000
120,000
2009 2010 2011 2012 2013
ton
nes
USA
United Arab Emirates
Malaysia
Iran
Bangladesh
World
0
50
100
150
200
250
300
350
2009 2010 2011 2012 2013
ton
nes
USA
Netherlands
Germany
France
Belgium
World
18 Market Insider
Spices
Exports of spice mixtures from India by year and destination
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
18,000
20,000
2009 2010 2011 2012 2013
ton
nes
USA
United Kingdom
United Arab Emirates
Saudi Arabia
Nigeria
World
19 Market Insider
Spices
Events Event Start Date End Date Country City URL
Food Ingredients South America
05/08/2014 07/08/2014 Brazil Sao Paulo www.foodingredientsglobal.com/southamerica/home
Inprodmash 09/09/2014 11/09/2014 Ukraine Kiev www.inprodmash.ua
Brazil Alimentaria 15/09/2014 18/09/2014 Brazil Sao Paulo www.alimentariabrasil.com.br
World Food Moscow 15/09/2014 18/09/2014 Russia Moscow www.world-food.ru
Natural Products Expo East 17/09/2014 20/09/2014 USA Baltimore www.expoeast.com
Annapoorna World of Food India
24/09/2014 26/09/2014 India Mumbai www.worldoffoodindia.com
Food Ingredients India 29/09/2014 01/10/2014 India Mumbai www.foodingredientsglobal.com/india/home
Agroprodmash 06/10/2014 10/10/2014 Russia Moscow www.agroprodmash-expo.ru
Food Ingredients Asia 15/10/2014 17/10/2014 Indonesia Jakarta www.foodingredientsglobal.com/asia-indonesia/home
SIAL 19/10/2014 23/10/2014 France Paris www.sialparis.com
42nd
Session and Meetings of IPC
27/10/2014 30/10/2014 Vietnam Ho Chi Minh City
www.ipcnet.org
World Food Kazakhstan 05/11/2014 07/11/2014 Kazakhstan Astana www.worldfood.kz
Gulfood Manufacturing 09/11/2014 11/11/2014 UAE Dubai www.gulfoodmanufacturing.com
World of Food Beijing 26/11/2014 28/11/2014 China Beijing www.worldoffoodbeijing.com
Horecava 12/01/2015 15/01/2015 Netherlands Amsterdam www.horecava.nl/
Gulfood 08/02/2015 12/02/2015 UAE Dubai www.gulfood.com
Prod Expo 09/02/2015 13/02/2015 Russia Moscow www.prod-expo.ru
International Food & Drink Event
22/03/2015 25/03/2015 UK London www.ife.co.uk
Food Ingredients Asia 09/09/2015 11/09/2015 Thailand Bangkok www.foodingredientsglobal.com/asia-thailand/home
IBA 12/09/2015 17/09/2015 Germany Munich www.messe-duesseldorf.de
ANUGA 10/10/2015 14/10/2015 Germany Cologne www.anuga.de
Food Ingredients Europe 01/12/2015 03/12/2015 France Paris www.foodingredientsglobal.com/europe/home
