Areca nut price edges up to over K7,000 per viss

The prices of areca nuts are moving onwards and touching a high of K7,000 per viss (a viss equals 1.6 kilogrammes), according to the areca nut market.
On 1 August, the prices of areca nuts ranged between K5,100 and K6,100 per viss. The current market price jumped to K6,200-7,200 per viss, showing a significant increase of K1,000 per viss over the three weeks.
“Low inventory drove the prices up,” an official of the Nyi Nyi Areca Nut Trading told the Global New Light of Myanmar (GNLM).
Furthermore, some traders are keeping the stocks of dried areca nuts in their hands.
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.
Soft and moist areca nuts are harvested in April and China’s strong demand for areca nuts is seen, traders said.
The prevailing price of areca nuts was K30 per piece last year. This year, the price jumped to over K60. The farm owners are keen on selling soft and moist areca nut fruits rather than dried ones.
Generally, the matured betel nuts are placed on the market after the drying and processing stages. Meanwhile, the soft areca nut fruit is offered K35 at the minimum without having additional charges for processing. This way, the farm owners focus on the sales of soft and moist areca nut fruits.
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). The brokers do a roaring trade with the competitive pricing.
The brokers go down to farms and buy areca nut fruits from 17-18 grammes sized fruits to over 30 grammes sized fruits.
Earlier, Myanmar harvested only matured areca nut fruits and only the dried areca nuts were delivered to the market. Nonetheless, coronavirus impacts in 2020 and political changes in 2021 hindered some business operations.
Therefore, the farm owners expressed an interest in the harvest of ripe betel nut fruits on the back of China’s demand with high prices. The market grew this way and farm owners make a handsome profit at present.
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 shared their opinions. – NN/GNLM