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Jun 3 2013
Prospects of Large Cardamom

Large Cardamom (Amomum subulatum) also known as ‘Black Cardamom’, ‘Elaichi’ as it is locally called in Nepal and known as ‘Nepal Cardamom’ outside Nepal is one of the old spices indigenous to the Eastern Himalayas of Nepal. Large Cardamom comes under the family Zingiberaceae to which ginger and small cardamom belong to. Its pods have strong camphor like flavor with a smoky character derived from the method how it is being dried. Large cardamom was introduced into Ilam (Nepal) in 1865, nearly 142 years ago by the Nepalese laborers who went to Sikkim for seasonal work. However, commercial cultivation started in Ilam much later in 1953. The establishment of Cardamom Development Centre at Fikkal in this district in 1975 paved the way for the development of this crop. Black cardamom is often described as an inferior substitute for green cardamom by those unfamiliar with the spice. Although the flavor differs from the smaller green cardamom, black cardamom is often used by large-scale commercial bakers because of its cheapness.

Cardamom is the most important cash crop in Nepal .It is produced in 36 districts of Nepal. The major regions of cardamom production in Nepal are as follows:

 

  • Eastern region: - Taplejung, Sankhuwasava, Solukhumbu, Illam, Morang, Dhankuta
  • Central region: - Nuwakot, Kavre, Dolkha, lalitpur
  • Western region: - Gorkha, Lamjung, Kaski
  • Mid west region: - Dailekh, Salayan
  • Far west region:- Achhan, Doti

Cardamom farming is one of the main sources of cash income for the small farmers of the mid-hills in Nepal. The net income of farmers involved in Cardamom cultivation is significantly higher than that of competing crops (paddy, maize, wheat and fresh vegetables). The value of Cardamom export has been increasing over the years and doubled in the last decade.

 

The price of cardamom varies from year to year and also within a year. The cardamom is also produced in Darjeeling / Sikkim area of India and in Bhutan. All these markets are closely connected to Siliguri of West Bengal, India where major trading of cardamom takes places. Siliguri of India is the global hub for the selling of large cardamom products because 70% selling of the total global production of cardamom takes place here. Thus, the pricing of cardamom in Nepal is affected by the pricing of cardamom in International markets. The pricing of cardamom is also affected by grades i.e. large, medium, and small and whether or not tail cutting has taken place.

 

Nepal is one of the leading producers and exporters of large cardamom. As the demand for cardamom is very high in international market and price of cardamom is also increasing, our government should bring special programs to improve cardamom farming. In villages of Nepal cardamom is traded at Rs. 40,000 to Rs. 50,000 per 40 k.g. lots, in Britamod its price is Rs. 60,000 and when the same cardamom is exported from India to other countries its price is Rs. 80,000 per 40 kg.

 

We are in dire need of an institution which could bring all the stakeholders including commodity exchanges to develop an effective trading mechanism.

 

 
Posted by Mex R&D at 3/6/2013 10:26:48 AM
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