After a difficult year because of the impact of the Thrips pest and declining international prices, at the end of 2014 $240 million were generated in export earnings.
With the annual increase of 10% in production, Guatemala maintains its global market lead in cardamom sales. According to the Guatemalan Exporters Association (Agexport), since 2005 they have increased their sales by up to 241%.
Overproduction along with the thrips pest, which has affected 35% of production, are putting downward pressure on the price of the seed.
On top of the negative effect of the pest on crops, is the lack of implementation of good practices by smallholders and soil problems arising from, among other factors, deforestation.
"Jorge Mario del Cid, Chairman of the Cardamom Committee at the Guatemalan Exporters Association, said in an article in El Periodico that a quintal can fetch a price in the local market of Q5, 000 when the crop is below 20,000 tonnes, but it may fall to get Q1,500 with the current harvest." According to the same source, the problem affects approximately 350,000 domestic producers."
Up to and including May 14, a record of $172.3 million for sales of the grain was registered with respect to the $62.1 million sold during the same period in 2008.
According to data from the Bank of Guatemala, almost all cardamom is exported to the countries of Saudi Arabia, UAE, Jordan, Kuwait, India, Pakistan, Syria, Israel and Singapore.
Ovidio Fernandez, president of the Association of Guatemalan Cardamom Dealers (CARDEGUA) told Elperiodico.com.gt: "Most producers are indigenous peasants who have small plots of one or two acres which they work with their family and then they sell the cardamom to an intermediary, who carries out the drying process and subsequently resells it to exporters."