The Price History

The market price of vanilla rose dramatically in the late 1970s, due to a typhoon.
Prices stayed stable at this level through the early 1980s despite the pressure of recently introduced Indonesian vanilla.

In the mid-1980s, the cartel that had controlled vanilla prices and distribution since its creation in 1930 disbanded. Prices dropped 70% over the next few years, to nearly US$20 per kilo.

This changed, due to typhoon Huddah, which struck early in the year 2000. The typhoon, political instability, and poor weather in the third year drove vanilla prices to an astonishing US$500 per kilo in 2004, bringing new countries into the vanilla industry.

A good crop, coupled with decreased demand caused by the production of imitation vanilla, has pushed the market price down to the  $40 per kilo range in the middle of 2005.

Madagascar (mostly the fertile region of Sava) accounts for half of the global production of vanilla.
Mexico, once the leading producer of natural vanilla with an annual 500 tons, produced only 10 tons of vanilla in 2006. An estimated 95% of “vanilla” products actually contain artificial vanillin, produced from lignin.

Prices  July 3 2009 - The Public Ledger

Madagascar type extract grade delivered US ($/kg)
	Settlement/close	Previous Week	High	Low
	25.00	32.00	32.00	25.00
Madagascar origin standard grade cif Europe (€/kg)
	Settlement/close	Previous Week	High	Low
	20.00	35.00	35.00	20.00