#stayhome Maintain the distance, wash your hands, and follow instructions from the health authorities.
RSS   Newsletter   Contact   Advertise with us

Vanilla prices reach record highs amid shortage

Share on Twitter Share on LinkedIn
Staff Writer | September 7, 2017
A global shortage of vanilla has sent prices sky high, and the cost of vanilla is now more than double previous record prices.
Vanilla prices
Demand   The flowers only open once a year
The last peak was in 2003 when it reached $300 per kg, and it is now sitting about $700 per kg.

Vanilla is a tricky product to grow: the flowers only open once a year and have to be hand pollinated within four hours of opening.

Heilala Vanilla chief executive and co-founder Jennifer Boggiss said vanilla, as a commodity, went through cycles, and at the moment it had record high pricing and short supply.

"It's a combination I think of climatic conditions - Madagascar is the main producer of vanilla in the world, over 80 percent... and they had a cyclone.

"Even prior to the cyclone in March we were facing supply shortages. In Tonga where we grow our vanilla we've had a couple of light seasons, this last season we had really light yield."