We focus on grains and food industry.
We focus on grains and food industry.
We focus on grains and food industry.
We focus on grains and food industry.
We focus on grains and food industry.
We focus on grains and food industry.
We focus on grains and food industry.
We focus on grains and food industry. current time
Clove Prices Stay Firm as Weather Risks Tighten Supplies in Key Origins
Clove markets are moving firmly higher in both India and overseas as weather-related crop concerns in major producing countries restrict supplies. India, which depends heavily on imports to meet domestic consumption, is particularly exposed to the rise in international prices. With Madagascar and Indonesia facing production uncertainties and currency movements adding to import costs, the Indian market is likely to remain firm in the near term.
International clove offers have moved to around USD 10.27–11.00 per kg, pushing Indian FOB prices to approximately EUR 9.70–10.40 per kg after adjustments for exchange rates and import-related expenses. Domestic prices have also maintained an upward trend during August. In New Delhi, whole cloves increased from about EUR 9.50 per kg at the beginning of the month to nearly EUR 9.57 per kg by August 27. Ground cloves followed a similar path, rising from around EUR 9.65 to EUR 9.72 per kg.
The increase is primarily the result of tightening supply rather than an abrupt surge in consumption. Indonesia and Madagascar, which form the backbone of global clove exports, have experienced repeated weather challenges that have affected yields. Concerns over the latest crop are adding another layer of uncertainty to an already restricted supply situation.
Indonesia faces an additional constraint because a substantial share of its domestic clove crop is consumed by the country’s large kretek cigarette industry. This leaves less produce available for overseas markets and intensifies competition among importers. For India, the pressure is greater because domestic production meets only about one-quarter of local consumption. Importers therefore have limited room to negotiate lower prices when international supplies are tight.
Weather conditions in Indonesia remain a major factor for the market outlook. Forecasts point to a pronounced dry period during July-September 2026 across several parts of the country, including Maluku, an important clove-growing region. Extended dryness could place stress on trees, affect flowering and bud development, and ultimately influence both the quantity and quality of the next crop.
Madagascar’s near-term weather outlook is relatively calmer, with forecasts through mid-September showing no immediate cyclone threat. However, the country’s clove sector remains vulnerable to weather disruptions, particularly after difficult seasons in recent years. Uncertainty over crop yields is encouraging exporters to remain cautious about committing supplies too far ahead.
There are currently no major disruptions at key ports, but limited stocks at origin could still result in shipment delays or smaller loadings. With global prices remaining above the USD 10 per kg level, freight costs and currency fluctuations adding to landed expenses, Indian buyers are likely to maintain firm domestic selling prices. The overall outlook for cloves therefore remains firm to bullish in the short term.
