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Economy News, Latest Economic News Today | The HinduBusinessLine

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Pre-monsoon buying keeps black pepper prices steady
2026-05-12 · via Economy News, Latest Economic News Today | The HinduBusinessLine

Black pepper prices remained steady in the Indian domestic market amid robust demand from masala manufacturers, with pre-monsoon buying by grinding units supporting trade activity in the Kochi terminal market.

Traders said many grinding factories in North India have stepped up procurement ahead of the monsoon season to secure raw material supplies, resulting in sustained demand for pepper in the domestic market.

Prices were quoted at ₹700 per kg for ungarbled varieties and ₹720 per kg for garbled pepper, against arrivals of around 15-20 tonnes in the Kochi terminal market.

Regular trend

Kishore Shamji of the Indian Pepper and Spices Trade Association, said strong buying by grinding units before the onset of monsoon is a regular trend, as higher moisture content during the rainy season could affect the quality of raw pepper.

He said pepper production in Tamil Nadu was significantly lower this season and estimated at below 5,000 tonnes compared with the normal output of 12,000-15,000 tonnes. The decline was mainly attributed to climate change.

Karnataka, however, has reported a normal crop season, though many farmers hold back pepper stocks since coffee got better price realisation. Farmers who had held back pepper stocks have now started releasing them since coffee prices have weakened, he said.

Export demand subdued

In Kerala’s Idukki district, pepper production is reported to be normal in both hilly and plain regions, with output as a whole this year estimated at 75,000-80,000 tonnes.

Meanwhile, export demand for pepper continued to remain subdued due to shipping bottlenecks arising from the West Asia crisis, currency fluctuations and US import tariffs.

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Published on May 12, 2026