Madagascar's vanilla alliance approves a 600-tonne buyback against the glut

OBSERVED: Madagascar's 2025/26 vanilla campaign confirmed 'a historic production level for Madagascar, estimated at a minimum of 4,500 tons, likely a national record,' and late-2025 flowering confirms an abundant 2026/27 crop also estimated around 4,500 tons, with more than half of the 2025 harvest expected to remain unsold in-country on top of old 2022–2024 stocks; international demand is 'cautious' and sales are falling despite the price drop (Biovanilla market report, March 2026). Biovanilla's reference prices are $15/kg for cuts, $25/kg for longs and $50/kg for gourmets, with the Cycle 3 (2021–2026) average export price at $40/kg 'ongoing' — the draft's '$30/kg extraction grade' figure is not in the report. The Central Bank of Madagascar reported Q4 2025 average export prices down 40.2% to $38/kg (Ecofin, 2026-06-23); September 2026 sampled export transactions on Tridge ranged $51.16–$120/kg. In mid-June 2026 the government-backed Alliance de Vanille Malgache approved buying 600 tonnes of processed vanilla using up to 40% of its ~$38 million reserves, though exporter association GEVM doubts it fixes the structural oversupply (Ecofin). No September 2026 reporting on the glut or the buyback surfaced in public search (checked 2026-09-24); the question stays framed on the measurable 600-tonne buyback. SCENARIO (hypothetical): the bear market deepens through year-end as the cumulative surplus exceeds absorption capacity, and the AVM buyback either executes or fizzles.

Published 2026-09-24 18:17:40 UTC · 2026-09-16 → ongoing

Illustrative only — not financial advice.