Clove Oil Eugenia caryophyllata Harvest: May - September

Hopefully you’ve been keeping on top of our reports since late last year when we envisaged the ‘perfect storm’ when it came to longer-term raw material supplies as the situation certainly developed this way. You can read about the global market conditions in this market report but in Indonesia the prolonged heavy rains during the first half of the year slowed down collections and over time depleted stocks. As we entered the second half of the year we had hoped for an earlier dry season but this did not happen. In fact, as late as the end of August, Sulawesi was still suffering from heavy rains with no end in sight. Hopefully there will be a short window of dryer conditions between now and the next rainy season set to start in November but already it will not be a long enough period to bring any real relief in supplies.
Locally prices are rising every week as processors scramble for stocks to meet their obligations. Many tell us they are already oversupplied and are reluctant to offer any new quotations for Q4 business.
As a result, we expect supplies to remain difficult and prices to continue to rise for the foreseeable future.

Market prices POA