Rodelle Vanilla Market Updates

Rodelle is proud partner with SAHANALA Madagascar. SAHANALA is an association focused on preserving the environment and increasing farmers’ incomes. The association has created a network of more than 3,000 vanilla farmers and is an employee-owned cooperative that gives 100% of profits back to each farmer-owner.

Rodelle also has a team on the ground in Madagascar regularly sharing updates about the vanilla market conditions.

We will share the most up-to-date information about the vanilla market here. You can read more frequently asked questions about vanilla here.

State of the Vanilla Market

August 2017 Update

Rodelle’s teams on the ground in Madagascar and Uganda have been integral in determining our participation in the 2017 vanilla market. In advance of the official opening in June, Rodelle has done everything possible to combat some of the challenges currently impacting the global vanilla market. The Madagascar market, which represented 85% of the world’s beans in 2016, officially opened June 20th. The continued shortage of supply has kept this year’s pricing at historical highs. In addition, we have confirmed that there was a significant amount of premature picking prior to the official harvest date to avoid theft and security and predict upwards of 80% of the 2017 crop will be of low quality.

By working directly with our Sahanala farmers association of 3,500+ farmers, Rodelle has established a complete vertical supply chain which provides us a competitive edge in the marketplace. We are creating opportunities to give our vanilla farmers a fair handshake and improved quality of life. Rodelle’s work in the growing regions has been focused on creating support programs and trust –our farmers know they will be receiving a fair price for their crop, regardless of the market trends.

Rodelle is continuing our social programs to support vanilla farming villages. We’ve emphasized the value of education for farmers’ children, and community-based projects. We’ve started a rice bank to help communities with food security. While the vanilla market is still very turbulent, Rodelle is confident that we are in the best position to continue to support vanilla farmers. By cutting out several links in the typical supply chain, Rodelle is shaping the future of vanilla and vanilla farmer’s lives.

The Impact of Enawo

March 2017 Update

The Government of Madagascar declared a national state of emergency on March 14th after Intense Tropical Cyclone Enawo made landfall in the north-eastern SAVA Region on March 7th (hitting hardest in the southern half of that region). The SAVA Region represented 85% of the world’s vanilla supply in 2016.

As of March 17th, here are some of the key figures demonstrating the effects of Enawo:

  • 1,300 polluted water points
  • 104 damaged health centers
  • 81 dead, 18 missing and 253 injured people
  • 433,612 affected people
  • 6,334 currently displaced
  • 40,520 houses destroyed
  • 1,800 classrooms destroyed

Many humanitarian response efforts are currently underway, and Rodelle is actively supporting the recovery. Emergency food assistance is required for over 150,000 persons who lost their food stocks. Rodelle has distributed funds to our vanilla farmer association for food security. Those provisions will supplement the 120 MT of food assistance to 2,000 people in the SAVA Region provided by the National Office for the Management of Risks and Crises (BNGRC).

State of the Vanilla Market

March 2017 Update

Rodelle’s team on the ground in Madagascar has been working hand-in-hand with vanilla farmers and SAHANALA, a farmers’ co-op, to assess the damage to the vanilla crop. During this time of year, vanilla beans are traditionally still growing and maturing on the vine. Because of the devastating winds and rain damage, many vanilla vines and beans have been damaged. The latest estimates indicate a 20-30% crop loss. With the harvest officially scheduled in July, it will be difficult to know the full extent of Enawo’s effect on the 2017 vanilla prices. Rodelle predicts that there will be supply issues along with a low-quality product later this year.

Our Madagascar-based team continues to visit our farmers, and offer resources for basic humanitarian support and food security. Our secondary focus is to offer aid and support necessary for vanilla farmers to be able to focus on their farms and revive quality.

The last 20+ years has seen the Madagascan vanilla industry move into a boom and bust cycle, which is having considerable impact on all stakeholders in the industry. With a 20-30% crop loss from Madagascar, additional vanilla growing regions will be even more critical in addressing the world’s demand of pure vanilla. The vanilla industry has become highly unpredictable the last two years. Rodelle’s objective is to increase traceability, transparency, and support structures to ensure a more consistent supply and quality of vanilla.

Rodelle encourages donations to support recovery efforts in Madagascar to UNICEF, CARE, and the Malagasy Red Cross Society.

2017 Vanilla Market Update

Click here to read more about the market conditions and the vanilla industry.

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