Spice inflation flips to 6.8% in May as El Nino threatens kitchen staples pricing
Orkla India flags a reversal after two years of deflation across spices, with sharper hikes expected in coriander and jeera. Dry chillies up 11.9%, coriander 8.8%. Food inflation hit 4.8% in May; Q2 F&B inflation seen at 5.8%, with FY27 forecast at 6% as El Nino risks mount.
What happened
Indian kitchen staples—spices, eggs, dairy, tea, coffee—face rising price pressure as El Nino threatens monsoon. Spice inflation hit 6.8% in May; Orkla India
Key facts
- 6.8% spice inflation May
- 4.7% April
- 11.9% dry chillies
- 8.8% coriander
- 4.8% food inflation May
- 5.8% Q2 F&B inflation forecast
- 6% FY27 forecast
- 6.5% spice price uptick projection
Why this matters
Distressed sourcing and smaller regional spice brands become acquisition targets as input volatility squeezes sub-scale players unable to absorb 11.9% chilli and 8.8% coriander hikes.