Russian Crop Update
CORIANDER SEED OIL
Seed harvesting was completed a little earlier than in normal years due to favourable conditions and the output is larger than in 2018. That said we should recall that in 2018 the overall plantings of coriander was significantly lower (up to 70%)than in previous year’s as prices had fallen to an unattractive level for farmers. After some replanting there are seeds available short term but these are expected to be exhausted in the coming months after a significant uptake from the spice markets leaving processors scrambling to purchase seeds now. Whilst some good offers remain in the market there is pressure for prices to rise to more sustainable levels which we haven’t seen for several years.
CORIANDER HERB OIL
Supplies have continued to remain ample with current pricing lower than historical averages. Good availability.
CLARY SAGE OIL
After zero output in 2018 due to devastating droughts the crops have recovered by around 70%. Due to the demise of the clary sage concrete market (used to produce sclareol and then ambroxan) producers are having to recover all production costs against the oil which is actually increasing the cost of the oil at a time when global markets are weak. The economies of scale in Russia cannot be compared to the French were their costs remain much lower so these are tricky times for this quality to secure its position in the market. Fortunately many perfumers and aromatherapy brands prefer this quality to other origins but must be prepared to pay a small premium to ensure the oil remains viable.
ARTEMISIA OIL TAURICA
Favourable conditions led to an earlier harvest and after distillation the qualities are looking very good, helped by the continued maturity of new plantations. Supplies are similar to those of last year.
DILL WEED OIL
After a significantly reduced 2018 crop, there was a reasonable crop this time adding some welcome supplies to the market. Production costs increased with smaller than normal yields.
CHAMOMILE OIL GERMAN
There was a similar crop to 2018 which was largely unaffected by last year’s droughts. Whilst a small player in the chamomile market the quality and price are interesting when compared to options from other producing countries.