VANILLA by Ginkgo Bioworks

Current Status
Further Notes
Vanilla extract likely to see substantial price risesThe vanilla production sector – dominated by Madagascar – is experiencing a price bubble, and this will be translated into substantially increased prices for vanilla extracts. With prices for cured beans at origin in excess of US$200/kg for good extract quality beans, prices for extracts from this seasons production can be expected to move higher again. Whilst the common view is that higher prices for the raw materials are good news for farmers, these high prices are likely to lead to a faster and wider use of vanillin from fermentation replacing natural vanilla extracts from the bean and, as happened before in 2004/2005 when the last price bubble burst, a catastrophic fall in demand for vanilla beans and consequent price crash to very low prices. Farmers will be the losers. The industry is about to see history repeated. From Intracen Report 2016