Turkish market, demand, prices and trend. Quotation in Italy. Report of the 23/11/2015
The market rose between mid-September and late October, stabilized since early November, fell 6-7% last week, and then stabilized since Friday.
The heavy offers of last week came mainly from Manavs (village collectors).
They show that if Manavs had not bought early in the season due to the good crop, they finally could not resist to the temptation of following a rising market. And of course they were the first to react when the market seemed to have reached the highest.
This flow of goods allowed some users to extend a bit their covers, but today this flow seems to be over. So, we expect in the coming days that the prices should stabilize or may even know a light upward correction. But we should not see again the highs reached 10 days ago because the volumes delivered last week by Manavs have covered the close needs.
Exports amounted to 79 370T last Friday (see www.kib.org.tr) this is low given the good 2015 crop and the need to re build the stocks in Europe. This weakness shows that only much lower prices will allow consumption return to the volume we had before the frost. Therefore, the surplus continues to increase…and prices have to fall, but this will require that producers take over from Manavs, which can take time. So, in the short term a stable market or very light increase, and in the middle term the drop is still expected.