Entry of new areca nuts drove the prices down when there is a lack of foreign demand, according to the area nut market in Mawlamyine city.
At the end of August, the prices of areca nuts climbed to K8,000 per viss. The current market price of old areca nuts significantly plummeted to K5,000 per viss, as per Hlaing depot in Mon State.
“The prices of areca nuts went up when the traders attempted to make inventory full without demand at the end of August. Normally, the price was less than K6,000 per viss. The competitive buying of the dealers resulted in a volatile market and the price hit around K8,000 per viss. Then, it was on a gradual decline. Lack of foreign demand caused the price plunge,” said an official of the Hlaing areca nut depot.
Additionally, the new areca nut is priced at K3,500 per viss. However, there is a low demand for new ones as well.
Normally, dried betel nuts were primarily exported to India. At the moment, betel nut exports to India have plummeted amid security concerns on the Kalay-Tamu trade route. Consequently, dried areca nuts are mainly relying on the domestic market, traders stressed.
The farm owners are keen on selling soft and moist areca nut fruits rather than dried ones. China primarily buys them.
Myanmar’s areca nut fruit market has become widespread. The commodity depot of areca nut fruits emerged in the producing states and regions (Rakhine, Mon and Kayin states and Taninthayi and Ayeyawady regions).
As a result of this, the dried areca nut production is likely to drop in future and the prices are likely to go up on low inventory and possible foreign demand, traders forecast. – NN/GNLM