Updated Cinnamon Wholesale Price That You Should Know

The price of cinnamon is witnessed an unprecedented price as the plan is in the spring season. Thus, it’s critical for cinnamon dealers to be knowledgeable about the current and projected global cinnamon wholesale price. The understanding will help them prevail in negotiations and acquire premium cinnamon at a fair price.

1. Cinnamon wholesale price in recent years

First of all, let’s take a look at the total recent wholesale price of cinnamon over the world and make a prediction of the future price.

1.1. Recent trends of the cinnamon wholesale price

The recent wholesale price of cinnamon has been quite steady. Traders and business leaders must keep a close eye on the cinnamon market’s changes. This stage is critical because it allows them to modify their company plans and forecast future trends. The graph below depicts the global wholesale cinnamon price trend from July 2022 to December 2022.

According to Tridge, a website highly regarded for providing highly updated data about the global agricultural market, the cinnamon wholesale price will be updated as follows beginning in July 2022, with the first line representing the price of Sri Lankan cinnamon and the second line representing the price of Indonesian cinnamon. Clearly, the price of the goods has been quite consistent. Cinnamon from Sri Lanka costs more than 11000 USD per ton, and its price has changed very little in recent years. In the meanwhile, fluctuations in the price of Indonesian cinnamon are significantly more notable, and it is projected to fall to approximately 6000 USD per ton by late 2022 or early 2023. In spite of the tremendous effects of Covid-19, the cinnamon market is still robust, indicating that it is an investment-worthy area.

1.2. Future trends of cinnamon wholesale price

Cinnamon wholesale price is expected to stabilize and rise in the coming years as the world adjusts to the post-Covid era and the cinnamon companies reproduce their cinnamon products. 

• The rising prevalence of diseases such as cardiovascular disease, some types of fungal infections, multiple sclerosis (MS) and diabetes, etc have led to a higher demand for importing and consuming cinnamon as the medical aid for the prevention and treatment of these diseases, which results in wholesale cinnamon businesses will profit greatly and the cinnamon wholesale price keeps being stable or even gets higher.
• Due to the increased awareness about the health dangers that are related to synthetic flavoring chemicals used in the food industry, people are more preferring using cinnamon.

2. Cinnamon wholesale price in leading exporters

According to OEC statistics, the top cinnamon exporters over the years have respectively been Vietnam, Indonesia, Sri Lanka, India and China. As a result, dealers are extremely regarding of the cinnamon price in bulk in those countries.

2.1. Vietnamese cinnamon wholesale price

According to OEC data, Vietnam is one of the top cinnamon exporters, accounting for 27% of total cinnamon exports in 2022. This country primarily grows and produces Saigon cinnamon which is commercially popular and affordable. 

• Vietnamese cinnamon wholesale price is slightly more affordable than Sri Lankan and Indonesian cinnamon, while its oil content is even higher. Vietnam’s suitable soil makes it great conditions for the cinnamon tree to produce high-quality cinnamon without requiring excessive care. Saigon cinnamon production in Vietnam is sufficient to meet large orders for export.
• Importing cinnamon from Vietnam is an advantage for importers from other national cinnamon markets because they can obtain high-quality products without exceeding their budget.
• According to a report from FAO, Vietnam is the world’s third largest producer of cinnamon, accounting for 17% of global production, or approximately 40,000 tons per year. With demand for cinnamon outstripping supply, Vietnam cinnamon prices are expected to rise further in the coming years if a supportive government policy or a suitable farming expansion plan is implemented.

2.2. Indonesia cinnamon wholesale price

In the second half of 2022, the change of Cassia cinnamon wholesale price in Indonesia did not vary much during that period, with an average of more than 4000 USD per ton and is on a slight downward trend, but not significantly.

Indonesia is the world’s leading producer of Cassia cinnamon, accounting for 37% of total global cinnamon production. In 2022, Indonesia produced over 90,000 tons of cinnamon, worth approximately 85 million USD. Most of the Cassia cinnamon produced in Indonesia comes from the highest volcanic slopes, notably in Kerinci in Sumatra, where the cinnamon tree thrives and requires little care from the producers.

Indonesia cassia type	Price/ton
Cinnamon stick	5670 USD/ton to 5860 USD/ton
Cigarette cinnamon	5670 USD/ton to 5860 USD/ton
Split cinnamon	3400 USD/ton to 3480 USD/ton
Broken cinnamon	1900 USD/ton to 2200 USD/ton

As we can see, the most expensive type of Indonesian Cassia cinnamon is the cinnamon stick with 5670 USD to 5860 USD per ton. And the cheapest is broken cinnamon with only 1900 USD to 2200 USD per ton. The average Indonesian cinnamon wholesale price is considered well-affordable for cinnamon importers with suitable cost, not too high but also not too low.

2.3. Sri Lanka cinnamon wholesale price

Sri Lanka has the best cinnamon quality in the world, making it a popular destination for any importer seeking the prestigious Ceylon cinnamon. In 2022, this country accounts for 10% of global cinnamon production and 85% of the global Ceylon market.

• Cinnamon wholesale price in Sri Lanka experienced sharp fluctuations when they fell precipitously in early October 2022, but have since stabilized. Despite its high cost, Ceylon cinnamon from Sri Lanka is still popular in many European countries due to its mild and sweet flavor better than any Ceylon cinnamon varieties. 

• Ceylon cinnamon stick is the most expensive cinnamon product in Sri Lanka, with an average price of more than 17000 USD/ton. Sri Lanka Ceylon’s average price is expected to reach 16880 USD/ton by the end of December 2022. The wholesale cinnamon price in Sri Lanka is three times higher than other cinnamon varieties around the world.

2.4. India cinnamon wholesale price

The highly profitable markets in 2021 for Indian cinnamon are exported to Kuwait, Vietnam, USA, Germany and Canada.

Indian cassia type	Price/ton
Cinnamon stick	4670 USD/ton to 4860 USD/ton
Cigarette cinnamon	4670 USD/ton to 4860 USD/ton
Split cinnamon	2400 USD/ton to 2480 USD/ton
Broken cinnamon	1000 USD/ton to 2000 USD/ton

• Cinnamon sticks and cigarette cinnamon are the most expensive kinds of India Cassia cinnamon due to their ease of use and attractive appearance. Split and broken cinnamon are not as attractive, but they are more difficult to break and more easily supplied.
• Cassia is a relatively popular and widely grown cinnamon variety in India, the wholesale cinnamon price in India is said to be quite low compared to the global average. The cinnamon wholesale price in India ranges between 2000 and 3000 USD per ton by the end of 2022. The factors that influence the Cassia cinnamon price in India is the currency exchange rate USD/Rupee, the greater the dollar rate the cheaper Indian cinnamon becomes, implying that one dollar may buy more Indian cinnamon. Furthermore, the policies in India also significantly affect the cinnamon cost. Following the signing of trade agreements by India, the cinnamon import and export trade is lowered in tariffs and various transport procedures, resulting in decreased transportation costs for businesses.

2.5. Chinese cinnamon wholesale price

China produces 34% of all cinnamon in the world, primarily the Cassia variety, which has a stronger, darker, and hotter flavor than the Ceylon variety.

Chinese cassia type	Price/ton
Cinnamon stick	3670 USD/ton to 3860 USD/ton
Cigarette cinnamon	3670 USD/ton to 3860 USD/ton
Split cinnamon	1400 USD/ton to 1480 USD/ton
Broken cinnamon	900 USD/ton to 1200 USD/ton

In comparison to other exporting countries, China’s cinnamon exports are relatively easily affordable. In 2022, the cinnamon wholesale price in China is approximately $2790 to $2250/ton and is expected to continue to decline due to some factors such as current machinery, abundant human resources, and large-scale cinnamon production. The most expensive Cassia type of Chinese cinnamon is cinnamon stick only takes for 3670 USD per ton, which is 3 to 4 times cheaper than other cinnamon exporting countries. The Chinese government has also issued a series of regulations aimed at lowering import and export taxes on cinnamon in order to increase Chinese cinnamon trade and consumption.

3. Notices of cinnamon wholesale price

To fully comprehend the wholesale cinnamon industry, it is necessary to examine notable aspects and price changes.

3.1 The cinnamon wholesale price gap of cinnamon varieties

It is easy to see the significant differences between Cassia cinnamon and Ceylon cinnamon prices are based on the scarcity rate of each cinnamon variety, as long as with the farming method.

• The amount of Ceylon cinnamon is much less than Cassia cinnamon and is only grown in a few parts of the world and the cinnamon cultivation in Sri Lanka is quite small, with a limited cultivation area. In contrast, the Cassia variety is grown in many Asian countries, such as Vietnam, China, and Indonesia, it has a significant advantage in terms of cultivation area. This is the primary cause of Ceylon cinnamon scarcity.
• Furthermore, the farming method influences the difference in the cinnamon wholesale price as well. In general, most Ceylon cinnamon is produced by hand, farmers harvest and process cinnamon bark with their own hands and traditional tools. Meanwhile, the Cassia cinnamon production process in Indonesia, Vietnam, or China primarily employs industrial chains, resulting in an abundant supply for this type of cinnamon.

3.2 Other factors influence the cinnamon wholesale price

Besides, the cinnamon wholesale price is affected by some other factors such as the large supply of cinnamon, the high demand from customers, government policy and especially, the Covid-19 pandemic in recent years.

• Large supply of cinnamon: According to World’s Top Exports, the total value of cinnamon exports has increased by an average of 63.1% for all exporting countries since 2017. Due to the impact of the Covid-19 epidemic, the global export value of cinnamon slowed to 4.5% from 2020 to 2021. However, it is on the rise again, ready to meet the huge consumer demand, ensuring traders stabilising cinnamon wholesale price and protecting them from price slippage.
• High demand: Tridge reports have shown that the total value of global cinnamon imports in 2022 has reached 500 million USD and increased by more than 46% compared to the same period last year. This demonstrates that global demand for cinnamon products is increasing on a daily basis, causing the wholesale price of cinnamon to rise steadily. The cinnamon market is expected to be stable and profitable for traders.
• Government policy: With the expansion of bilateral and multilateral agreements in recent years, countries’ trade has increased by removing trade barriers. These policies have significantly aided in reducing the impact of the cinnamon wholesale price increase, providing buyers with more affordable prices.
• Impact of the Covid-19 pandemic: The pandemic has had a significant impact on the cinnamon business. The cinnamon wholesale price is affected and reduced as countries close their borders and change export goods to domestic use.  However, the reduction is not too drastic and still helps businesses make money because cinnamon is a highly practical product that can be stored for a long time. As a result, importers should not be concerned about the severe disruption of the cinnamon market caused by the Covid-19 epidemic. Furthermore, the current situation is more stable because the Covid epidemic has declined, and the cinnamon market has been recovering quickly.

4. Cinnamon wholesale price by some reliable cinnamon exporters

The list below will be extremely useful for anyone looking for dependable cinnamon exporters.

• Lak Cinnamon Exporters: Lak Cinnamon Exporters is a reputable cinnamon exporter in Sri Lanka. The Lak cinnamon brand is renowned for its high quality and high standards, which come at a rather high price of nearly 16000 USD for each ton of cinnamon exported. Every stage of the process is rigorously managed to ensure that the final consumer is completely satisfied. The company’s products range from quilling cinnamon to dried cinnamon leaves, and it can supply the market with any form of cinnamon.
• Pramoda Exim Corporation: With a reasonable cinnamon wholesale price of 3000 to 4000 USD/ton, Pramoda Exim Corporation deserves to be the best India cinnamon supplier and exporter. Undoubtedly, the firm is one of the most important Indian cinnamon manufacturers, suppliers, and exporters in Andhra Pradesh. They are an ISO 9001:2008 certified cinnamon exporter who provides the best cinnamon to customers worldwide. 
• Viet Agri Wholesale: Viet Agri Wholesale is considered an expert in the manufacturing and export of cheap Vietnamese cinnamon, with cinnamon wholesale price ranging from 2200 to 4500 USD/ton. This cinnamon company was among the first Vietnamese wholesalers to provide Vietnamese agricultural products to the foreign market. The company strives to provide the greatest quality products to consumers worldwide and is a leading expert in the field of agriculture. The company provides cinnamon items at competitive costs, which can result in significant financial returns for distributors.