Madagascar cloves prices could not be expected to decrease over the near term if the exchange rate of the local currency against the dollar and euro remains unchanged. A devaluation of the currency would be required to create any easing. It has been rumoured that devaluation might be made after local elections in 2014,
Lower end estimates have put Madagascar's 2013 crop at 5,500 tonnes at most, while less pessimistic assessments have given a range of 6,000 to 7,000 tonnes. Either way, output is substantially down from the normal crop size of around 10,000 to 12,000 tonnes...READ MORE