Cardamom Trading in India
Cardamom is popularly known as the 'Queen of Spices' as it is one of the most exotic and highly prized spices (after saffron and vanilla). Guatemala and India are the two major cardamom-producing countries in the world followed by Indonesia. Guatemala produces nearly 40-45% of the total global cardamom production. Harvest time for Indian cardamom begins in August-September. There are three distinctive types of cardamom grown in India viz., Malabar, Mysore and Ceylon type. The Malabar type, traded as Alleppey Green cardamom, is considered as the best in the world. The two major commercial varieties of small cardamom in the world are the Malabar and the Guatemalan. Indian cardamom is slightly smaller, but more aromatic. Countries in the West/South Asian regions such as Saudi Arabia, United Arab Emirates and India account for around 60-65% of the world's consumption.
What makes Cardamom good investment?Global production of cardamom is around 70000-75000 tons, of which India produces about 14000-14500 tons (including small and large cardamom).
In terms of quality Indian variety holds premium position in global market.
Why is Cardamom a wise investment for an Indian trader?India is the second largest producer, consumer as well as exporter of Cardamom in the world. This makes cardamom prices very vulnerable to changes in Indian demand and supply.
Cardamom futures contract was launched on MCX platform on February 2006 and has witnessed considerable volatility since its launch.
Good availability in physical markets provides cash and carry opportunity to arbitragers. It serves as a hedging platform for the Producers and Exporters.
Cardamom contract is very liquid and provides easy entry and exit to a speculator. Thus the cardamom futures provide space for every investor category.
How can Kotak Commodity help me invest in Cardamom?The Kotak Commodity Gateway Account will give you access to research and trading facilities to conduct cardamom trading in India. While SMS alerts and Call & Trade will provide you regular updates on cardamom prices in India, our expert researchreports will help you make informed decisions. Our brokerage rates are attractive. The best part is that our Gateway account is a lifetime free trading account.
To learn more about Kotak Commodity Gateway Account, please click here.
Useful Links - NCDEX | MCX | NYMEX | KITCO | CBOT | CME | AGMARKNET | WORLD GOLD | FMC | KYC Regulations
BCE/TCM/CORP/0021, BCE Trading Member Id: 545, NCDEX/TCM/CORP/0479, NCDEX Trading Member id 00155, MCX/TCM/CORP/0479, MCX Trading Member Id 10440, NCDEX Spot Trading Member Id: 10040, SEBI registration no - INZ000044135