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The crops in Indonesia this year have not been too good. The exact reason is difficult to determine, however we have again heard stories about the canker that blighted a crop about 6 years ago.
In this short market the carry over stocks from 2005 have been used up. Materials that are readily available show a higher incidence of aflatoxin problems.
Alternative origins such as Sri Lanka and West Indies may help buffer this difficult situation in Indonesia.
In this firm market situation, buyers would be prudent to extend their stock positions.
To date there has not been any significant increase in market price that has affected the cost of essential oils and oleoresins produced from nutmegs or mace.
Nov 2006
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