CLOVES

----- Original Message -----
From: dhirish
To: peppertrade@olcom.com.br
Sent: Monday, May 15, 2006 5:23 AM
Subject: regt cloves
dear sir

we recd info that indonesia crop this year only 20%, so prices are going even before crop arrd, today prices at usd 4700-4800, some cloves prices at usd 5100

today we heard the news of volcano in indonesia, java area, , cloves are grown there in big way, all cloves exporters are withdrwan, no sellers for cloves

we see this year cloves prices will reach high prices, may be usd 7500-8000 too

srilanka cloves crop was only 2000 tons, usual crop is 5000 tons,, india buys 90% crop, as import duty is only 4% for indian importers, now no crop left prices at usd 8000 today, no sellers too

new crop will take 6 months time, till then import demand from india woiill rise, indonesia cigar co will buy cloves too, so world mkt will face about 50000 tons shortages, we think prices will increase soonest in coming few weeeks

best regards