Please be informed that 18,250 tons of Turkish White Poppy Seeds have been exported to India from Turkey In just 4 months since 1st March 2018. Turkey Dalal Company had brokered about 55% (about 10,026 tons) of the total volume exported from Turkey to claim the top position once again as the World’s Largest Brokering Firm for White Poppy Seeds.
Almost all the shipments are cleared while around 1000 tons of the shipment are on the way to touch Indian ports in the coming weeks. The demand in Indian market has been exceptionally high this year as there was no carry-over stocks and short Indian Crop in March 2018. It looks in India most of the White Poppy Seeds Cargoes have been consumed and remaining goods are in the hands of strong traders. The Festival season in India is starting from August and continuing until October when Turkish White Poppy Seeds consumption and demand is very high and still there is no development on New Import Permit to import Turkish White Poppy Seeds into India for the Turkish New White Poppy Seed Crop year 2018.
The uncertainty about the issuance of the New Import permit by India is driving the prices of Turkish White Poppy Seeds upwards in India. It is believed amongst importers that New Import permit for the season 2018 might take few more months as there are lot of confusion over the procedures and guidelines which are yet to be formed by Indian and Turkish Government officials only after completing the formalities of Memorandum of Understanding by both the Governments.
Meanwhile the New Crop 2018 estimates about the quantity has been announced by the Turkish Grain Board (T.M.O) the competent authority for legally grown Poppy Seeds in Turkey. The quantity of Turkish White Poppy Seeds expected is around 21000 tons. The final figures will be announced once the capsules are collected by the T.M.O office in the coming weeks and months.
The New arrivals of Turkish White Poppy seeds have started reaching the exporter’s warehouses. After several tests, Turkey Dalal’s quality testing team has confirmed the quality is not as good as the year 2017 crop. The quality and the colours has been affected by the prolonged rain during the months of May and Jun. The main Poppy growing region Afyon is yet to start the harvest that will be the deciding factor of the Poppy Prices for the new season 2018.
There are some inquiries from India for the New Crop 2018 but No exporter is willing to sell forward deals as a matter of fact that Turkish White Poppy seeds was banned in India for 20 months earlier for no reason and exporters suffered financially, no choice but to hold the cargoes which were sold in forward booking basis. Moreover, our exporters believe that selling forward without seeing actual quality of New crop Turkish White Poppy Seeds is not the best way of trade. The volatility in the Turkish Currency market is continuing even after the formation of the New Government by the ruling party which won the election in Jun 2018 such instability is keeping the exporters and traders away from stocking Turkish White Poppy Seeds in a big way.
Turkey Dalal company predicts if New Import Permit does not open for next 3 to 4 months then the prices in Turkey can go down sharply by few hundred dollars a ton which is very likely. The current price level for Turkish White Poppy Seeds is about 2450 FOB – 2500 FOB.
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