Erode–Turmeric prices in Erode, a major trading center in Tamil Nadu, have climbed to nearly Rs 20,000 per quintal as limited arrivals, increased buying and concerns about drought tighten supplies.
The finger variety reached Rs 19,779 per quintal on Monday, up sharply from Rs 15,199 on June 19 and about Rs 14,000 on April 20, according to market data.
Prices for the bulb variety have also risen, increasing from about Rs 14,000 per quintal in April to Rs 17,632 on Monday.
Traders attributed the rally to falling supplies and expectations that inadequate rainfall could reduce the area planted with turmeric during the next cultivation season. Drought conditions in Erode and other producing regions have raised concerns about water availability and future output.
M. Sathyamurthy, Secretary of the Erode Turmeric Merchants and Godown Owners’ Association, said traders expect cultivation to decline next season because of insufficient water.
Wholesalers have begun building inventories in anticipation of a shortage, increasing demand at a time when market arrivals are already limited.
Fresh arrivals in major turmeric markets in Tamil Nadu, Andhra Pradesh, Telangana and Maharashtra have largely ended, Sathyamurthy said. The marketing season for newly harvested turmeric typically runs from February through June, with the next significant arrivals expected in February 2027.
Prices are likely to depend heavily on rainfall over the coming months. Adequate rain could stabilize the market, while a prolonged drought could reduce planting further and push prices higher.
Farmers said many growers may receive little benefit from the current rally because they sold most of their crop before prices reached present levels.
Manirajan, a turmeric farmer in the Lower Bhavani area, said growers have limited produce remaining to sell.
K.R. Sudandhirarasu, President of the Tamil Nadu Small and Micro Farmer Association, said El Niño concerns and inadequate irrigation continue to discourage farmers from planting turmeric.
Although market prices are attractive, many farmers lack enough water to cultivate the crop, potentially allowing traders holding large inventories to capture most of the gains.
Turmeric prices previously surpassed Rs 21,000 per quintal during a rally in 2024. (Source: IANS)
