Saffron Prices Spike Amid Historic Production Slump in Kashmir

Kashmir’s world-famous saffron, often hailed as “red gold”, is witnessing an unprecedented surge in prices this season as production has plunged to an all-time low, triggering serious concerns among growers, traders, and consumers alike.

- Observer News Service

According to farmers and market traders who spoke to KNO, saffron production during the last season declined drastically to merely 5-10 per cent of an average year's yield, resulting in a sharp rise in market prices. They said the steep fall in output has pushed saffron rates up by 40 to 50 per cent compared to last year, with fears that prices may escalate further in the coming months.

In local markets across the Valley, one gram of saffron that was sold at around Rs 200 last year is now fetching Rs 250 to Rs 350, depending on quality and grade, according to traders. They attribute the surge to extremely low availability, saying that the supply crunch has affected both domestic and outside markets.

“The supply is very limited this year. Whatever little produce came to the market has been quickly absorbed, and prices are likely to rise further if the situation remains unchanged,” a trader said.

Growers have blamed the sharp decline in production on a combination of prolonged dry spells, erratic weather patterns, and the continuous shrinking of traditional saffron land due to urbanisation and land conversion.