Dealers said the prices are expected to soften further as the demand from principal markets including US and Japan is declining. "The market is in a flux and there is no possibility of an immediate recovery", a dealer said. However, dealers are hopeful of a price recovery in the long run as there is a reported shortfall in production in some principal pepper growing countries as a fallout of the El Nino phenomenon.

"Long term futures for Indian pepper is bright as there are no other sources the international buyers could turn to", a dealer said. He is hopeful that the long term futures would recover in a week or two once the foreign buyers re-enter the market. He said certain global buyers are restricting their enquiries in a bid to hammer down prices taking advantage ofthe uncertainty over the real impact of sanctions on the market.