Sesame markets worldwide are currently going through a hibernation phase with demand being very slow from all buying countries. We would discuss the market scenario with respect to major exporting & consuming countries as below:
The Dragon of Asia was short on supply this year, but rather than buy aggressively, China tried to cover its requirement gradually without fueling the world market. In the initial months of the new crop, Ethiopia was going through the initial turbulence of the Commodity Exchange Board at that time, so China covered its requirements mainly from Sudan & Nigeria.
As we all know, Africa is China’s favorite supplier due to abundance of raw material, import duty benefit & above all, good taste. These factors have put Indian Sesame Seeds at the last position in China’s shopping list.
In the past 3 years (including some period of this year), the demand from China for Indian Natural Sesame Seeds have been very poor, and thus, prices of Natural Sesame in India remained weak due to lack of Chinese support.
The growing Chinese demand has not left any African origin unexplored. Even sources like Somalia are gaining ground in China and prices have shot up as a result. Thus, it would not be wrong to state that except India, the Chinese demand has supported all other major origins.
Currently, the demand for Sesame Seeds is very slow in China & huge stocks are reported to be lying at the port, waiting for the buyers to accept them. Good quantities in transit are expected to reach China soon, thus major import demand from China is not expected in near future.
One of the largest exporters of Natural & Hulled Sesame is slowly losing its ground in the international market, especially for Natural Sesame Seeds. This year the crop was not was not good enough in terms of quality & production, but even then, the prices did not get the expected support. The reasons for this have already been cited above.
The only demand seen this year for Indian Hulled Sesame Seeds world-over was mainly from the USA market. Today, India is the most competitive origin available in the world for good quality Hulled Sesame Seeds. Other competition origins like South & Central Americas, Africa etc. couldn’t compete with India due to their high cost of raw material. Thus, it can be said that Hulled Sesame seeds saved the face of India in the international market.
Considering the world market scenario, we don’t find any reasons for the Indian Sesame Seeds prices to firm up in immediate future, but the demand for Hulled Sesame Seeds will surely remain with India.
The stock levels in India are not very good & getting good quality 99×1 is a problem. Currently the market is weak & the traders & intermediates are selling their stocks in panic, eventually affecting the market adversely. The current prices in India are very attractive for the buyers.
The Indian summer crop is will be harvested by end April / May & everyone is looking forward for it. It is difficult to comment about the sowing area as farmers are opting for other options due to poor realization during this crop year.
The demand is slow for the moment. Stock levels are reasonably good, thus Africa can supply good quantities for coming months. Prices have softened a bit mainly with Sudan, but Ethiopia still remains around the level of USD 1360 FOB. Africa is the origin buyers would look forward to.
South America & Central America
These countries are facing very tough competition from Indian Hulled Sesame Seeds & have also lost some share to it. The price of raw material is very high at the moment, making it quite difficult for them to sell their product. Unfavorable political situation in some countries is also leading to in consistency in their supplies. Buyers in USA are getting uncomfortable due to uncertainty in export policies.
Demand for Pakistani Sesame is slowly growing as they are able to offer natural sesame seeds & the taste of the same is preferred by Chinese. Unfavorable weather led to poor production last year, but the sowing & production in expected to grow in coming years.
In view of the above, it seems that there would not be much momentum in the Indian market in coming days & good quality Hulled Sesame Seeds will be offered at competitive prices resulting in good demand for it. The current prices for Hulled are very attractive compared to what other countries are pricing similar products.
Bora Foods Pvt. Ltd.,
dear mr. Bora,
really appreciate the overall general picture you have given in the report.
i would be glad if you could include reports on individual origins in africa and how they would perform in the current year.
Hi, i always like these reports to gain knowledge for future bussines steps. Thanks this is a helpful knowledge for me. My bussines is in moz. And here season will start from july. I need buyer. Plz email me. [email protected].
PAKISTAN SESAME SEEDS 2011 CROP In Pakistan due to different weather condition and water availability in different areas Sesame Seeds Crops Comes in the market three times every year, last year due to severe flood sesame seeds crop washed away along with other cash crop specially southern region (Sindh Province). Pakistan local market for Sesame Seeds is stable at the moment, due to less demand in the international market. Some carry over stock available in market and some are available to the farmers warehouse, everyone is waiting for 2011 first tiny crop of sesame seeds from central Pakistan in the month of august which is expected approximately 40,000 MT. Pakistan second major crop of sesame Sesame Seeds which comes from Sindh (south eastern province) in October 2011, is expected in double in size approximately 85,000 ~ 90,000 MT, as most of framers/growers are planning for sowing sesame seeds after heavy flood last year. The third and largest crop which comes from all over the Pakistan mainly from Punjab province in the month of November / December is the major crop of sesame seeds and as we are getting reports from different sources that this crop size expected more than 120,000 MT ~ 130,000 MT which is 50% bigger than Pakistan last year’s 2009-10 Total Crop of Sesame Seeds. Nawab AbroHead International SalesEmail: [email protected]
i have gone through the report,i will be glad if you could report on Nigeria in particular.
we want the pris of sesame seed thanks in india our athyubiyan sesam seed
Can anyone help me to find out the latest literature (2011) about Sesame cultivated varieties, Area, Production, and total productivity in Pakistan and rest of the world?