Clove Market

The global clove market is projected to continue its upward consumption trend, with market performance forecasted to expand at a CAGR of +2.4% from 2022 to 2030. By the end of 2030, the market volume is expected to reach 280K tons, with a value of $1.5B. Indonesia holds the leading position in both consumption and production, with a 68% share of total consumption volume and 59% of total production volume. Global clove production, exports, and imports have shown steady growth over the years, with significant fluctuations in certain periods. Madagascar leads in clove exports, with a 46% share of global exports, while Indonesia ranks second in exports and first in production. The global average clove yield and harvested area have also experienced growth, pointing towards a positive outlook for the clove market in the near future.

Market Forecast

Driven by increasing demand for cloves worldwide, the market is expected to continue an upward consumption trend over the next eight years. Market performance is forecast to decelerate, expanding with an anticipated CAGR of +2.4% for the period from 2022 to 2030, which is projected to bring the market volume to 280K tons by the end of 2030.

In value terms, the market is forecast to increase with an anticipated CAGR of +4.9% for the period from 2022 to 2030, which is projected to bring the market value to $1.5B (in nominal prices) by the end of 2030.

Consumption

World Consumption of Cloves

In 2022, consumption of cloves increased by 11% to 232K tons, rising for the second year in a row after two years of decline. The total consumption volume increased at an average annual rate of +4.6% over the period from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. Over the period under review, global consumption hit record highs in 2022 and is likely to see steady growth in years to come.

The global clove market revenue was estimated at $1B in 2022, growing by 9.3% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). The market value increased at an average annual rate of +3.8% over the period from 2012 to 2022; however, the trend pattern remained consistent, with only minor fluctuations in certain years. Over the period under review, the global market reached the maximum level in 2022 and is likely to see steady growth in the immediate term.

Consumption By Country

Indonesia (157K tons) remains the largest clove consuming country worldwide, comprising approx. 68% of total volume. Moreover, clove consumption in Indonesia exceeded the figures recorded by the second-largest consumer, India (16K tons), tenfold. The United Arab Emirates (6.1K tons) ranked third in terms of total consumption with a 2.6% share.

From 2012 to 2022, the average annual rate of growth in terms of volume in Indonesia amounted to +4.6%. In the other countries, the average annual rates were as follows: India (+4.6% per year) and the United Arab Emirates (+6.8% per year).

In value terms, Indonesia ($578M) led the market, alone. The second position in the ranking was held by India ($103M). It was followed by the United Arab Emirates.

In Indonesia, the clove market increased at an average annual rate of +4.2% over the period from 2012-2022. The remaining consuming countries recorded the following average annual rates of market growth: India (+2.5% per year) and the United Arab Emirates (+5.4% per year).

The countries with the highest levels of clove per capita consumption in 2022 were the United Arab Emirates (608 kg per 1000 persons), Indonesia (563 kg per 1000 persons) and Sri Lanka (173 kg per 1000 persons).

From 2012 to 2022, the biggest increases were recorded for Tanzania (with a CAGR of +14.0%), while consumption for the other global leaders experienced more modest paces of growth.

Production

World Production of Cloves

In 2022, global clove production soared to 241K tons, rising by 18% compared with the year before. The total output volume increased at an average annual rate of +5.0% over the period from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. As a result, production attained the peak volume and is likely to continue growth in the immediate term. The general positive trend in terms output was largely conditioned by buoyant growth of the harvested area and a temperate increase in yield figures.

In value terms, clove production expanded slightly to $920M in 2022 estimated in export price. The total output value increased at an average annual rate of +1.9% over the period from 2012 to 2022; however, the trend pattern remained consistent, with only minor fluctuations being recorded in certain years. The pace of growth appeared the most rapid in 2018 when the production volume increased by 33% against the previous year. As a result, production reached the peak level of $1B. From 2019 to 2022, global production growth failed to regain momentum.

Production By Country

Indonesia (142K tons) constituted the country with the largest volume of clove production, accounting for 59% of total volume. Moreover, clove production in Indonesia exceeded the figures recorded by the second-largest producer, Madagascar (52K tons), threefold. The United Arab Emirates (12K tons) ranked third in terms of total production with a 4.9% share.

From 2012 to 2022, the average annual growth rate of volume in Indonesia amounted to +3.6%. In the other countries, the average annual rates were as follows: Madagascar (+8.5% per year) and the United Arab Emirates (0.0% per year).

Yield

The global average clove yield surged to 357 kg per ha in 2022, rising by 18% on the previous year. The yield figure increased at an average annual rate of +3.2% over the period from 2012 to 2022; the trend pattern remained consistent, with only minor fluctuations in certain years. As a result, the yield reached the peak level and is likely to continue growth in the immediate term.

Harvested Area

The global clove harvested area amounted to 675K ha in 2022, therefore, remained relatively stable against the previous year's figure. The harvested area increased at an average annual rate of +1.7% over the period from 2012 to 2022; the trend pattern remained consistent, with somewhat noticeable fluctuations being observed throughout the analyzed period. The pace of growth was the most pronounced in 2015 with an increase of 5.1%. Over the period under review, the harvested area dedicated to clove production reached the peak figure at 676K ha in 2020; however, from 2021 to 2022, the harvested area stood at a somewhat lower figure.

Imports

World Imports of Cloves

In 2022, approx. 91K tons of cloves were imported worldwide; rising by 19% against the previous year's figure. In general, imports enjoyed a buoyant expansion. The growth pace was the most rapid in 2020 with an increase of 41%. Over the period under review, global imports reached the maximum in 2022 and are expected to retain growth in the near future.

In value terms, clove imports skyrocketed to $659M in 2022. Over the period under review, total imports indicated a noticeable increase from 2012 to 2022: its value increased at an average annual rate of +3.9% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, imports increased by +111.4% against 2019 indices. As a result, imports reached the peak and are likely to continue growth in the immediate term.

Imports By Country

In 2022, Indonesia (25K tons) and India (18K tons) were the major importers of clovesaround the world, together making up 47% of total imports. Singapore (12K tons) ranks next in terms of the total imports with a 13% share, followed by the United Arab Emirates (6.9%). China (3.2K tons), the United States (2.5K tons), Saudi Arabia (2K tons), Bangladesh (1.8K tons), Malaysia (1.7K tons), Pakistan (1.5K tons) and the Netherlands (1.4K tons) followed a long way behind the leaders.

From 2012 to 2022, the biggest increases were recorded for China (with a CAGR of +33.3%), while purchases for the other global leaders experienced more modest paces of growth.

In value terms, Indonesia ($222M), India ($114M) and Singapore ($91M) constituted the countries with the highest levels of imports in 2022, with a combined 65% share of global imports. The United Arab Emirates, the United States, Malaysia, Saudi Arabia, Bangladesh, China, the Netherlands and Pakistan lagged somewhat behind, together comprising a further 18%.

In terms of the main importing countries, China, with a CAGR of +31.2%, saw the highest rates of growth with regard to the value of imports, over the period under review, while purchases for the other global leaders experienced more modest paces of growth.

Import Prices By Country

The average clove import price stood at $7,220 per ton in 2022, increasing by 22% against the previous year. Over the period under review, the import price, however, recorded a perceptible downturn. Global import price peaked at $9,399 per ton in 2012; however, from 2013 to 2022, import prices stood at a somewhat lower figure.

There were significant differences in the average prices amongst the major importing countries. In 2022, amid the top importers, the country with the highest price was Indonesia ($8,866 per ton), while China ($2,546 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Saudi Arabia (+9.2%), while the other global leaders experienced more modest paces of growth.

Exports

World Exports of Cloves

In 2022, the amount of cloves exported worldwide skyrocketed to 100K tons, with an increase of 39% compared with the previous year. Overall, exports showed a buoyant expansion. The growth pace was the most rapid in 2020 when exports increased by 48%. The global exports peaked in 2022 and are likely to see steady growth in the near future.

In value terms, clove exports skyrocketed to $636M in 2022. Over the period under review, total exports indicated a pronounced increase from 2012 to 2022: its value increased at an average annual rate of +4.4% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, exports increased by +91.0% against 2019 indices. As a result, the exports reached the peak and are likely to continue growth in the immediate term.

Exports By Country

Madagascar represented the largest exporter of cloves in the world, with the volume of exports reaching 49K tons, which was approx. 49% of total exports in 2022. It was distantly followed by the United Arab Emirates (12K tons), Singapore (11K tons) and Indonesia (9.7K tons), together making up a 33% share of total exports. Tanzania (4.4K tons), Comoros (4K tons) and Sri Lanka (2.4K tons) followed a long way behind the leaders.

From 2012 to 2022, average annual rates of growth with regard to clove exports from Madagascar stood at +9.7%. At the same time, the United Arab Emirates (+48.0%), Indonesia (+4.0%) and Singapore (+1.6%) displayed positive paces of growth. Moreover, the United Arab Emirates emerged as the fastest-growing exporter exported in the world, with a CAGR of +48.0% from 2012-2022. Sri Lanka experienced a relatively flat trend pattern. By contrast, Tanzania (-3.1%) and Comoros (-4.8%) illustrated a downward trend over the same period. The United Arab Emirates (+11 p.p.), Madagascar (+8.3 p.p.) and Comoros (+4 p.p.) significantly strengthened its position in terms of the global exports, while Sri Lanka, Indonesia, Tanzania and Singapore saw its share reduced by -2.3%, -4%, -8.2% and -8.6% from 2012 to 2022, respectively.

In value terms, Madagascar ($292M) remains the largest clove supplier worldwide, comprising 46% of global exports. The second position in the ranking was held by Singapore ($95M), with a 15% share of global exports. It was followed by Indonesia, with a 9% share.

From 2012 to 2022, the average annual growth rate of value in Madagascar stood at +5.7%. In the other countries, the average annual rates were as follows: Singapore (-1.9% per year) and Indonesia (+8.7% per year).

Export Prices By Country

In 2022, the average clove export price amounted to $6,379 per ton, increasing by 9.9% against the previous year. Over the period under review, the export price, however, recorded a noticeable decrease. The growth pace was the most rapid in 2021 an increase of 35%. The global export price peaked at $8,717 per ton in 2013; however, from 2014 to 2022, the export prices stood at a somewhat lower figure.

There were significant differences in the average prices amongst the major exporting countries. In 2022, amid the top suppliers, the country with the highest price was Tanzania ($9,622 per ton), while the United Arab Emirates ($3,806 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Indonesia (+4.5%), while the other global leaders experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform