Vanilla production depends heavily on the situation in Madagascar. When a typhoon hit this main supplier of vanilla, the market price increased worldwide and the local Polynesian government started a heavy program of subsidies and loans to develop vanilla farms. As the Polynesian production increased and Madagascar recovered, prices dropped and a lot of Polynesian farmers stopped caring for their vanilla plants. The plants are fragile and require regular care of experienced farmers. Diseases and insects can heavily reduce the production, and the cost of chemical products used impact the farmer harder when the vanilla prices are low. As the vanilla production falls, the price increase and the government started a new program of development, starting a new cycle. Despite the high price of Tahitian dried vanilla on the international market, it usually still finds buyers in the high-end market because of the specificities of its cultivar and quality.
vanilla PRoducTIon dEpeNDs heaViLy On the situATIon in mAdaGasCar. whEn a tYpHoon HIT This MaIN SUppLier of vanilla, ThE mArket priCe IncreAsed woRldwiDe aNd the LoCAl poLYNEsiAn GovErNmEnT sTarted a heavY PrOgram Of SuBsidies And loaNs tO dEVElop VaNiLLa faRMs. as thE pOlyNEsian productIon INcreased AND maDagASCaR RecoVeRed, prIceS drOppeD anD a lot of polYNeSiaN fArmers sToPpEd caRing fOr tHEir vanilla pLants. tH,e pLAntS ArE fraGILe and requirE RegulaR care oF eXperiEnced fArmErs. diSeaSES And insECts Can hEavilY reduce tHe productiOn aNd tHe cOst Of chEMicaL produCTs USeD iMpAct THE fARMER haRdEr WheN tHe vaniLla PriCeS are lOw. aS ThE vanilla prOducTIOn fAlls, tHE Price iNcrease aND thE gOVeRnmeNt started a new proGrAm OF devElopMeNt, stArtIng a New cYcle. despiTe the high priCE of taHitIAn DrIed VaniLla on thE InteRnationAL markET, It uSUaLly stilL fINDs bUyeRS in The hIgh-EnD marKET becAuse of the speciFIcities oF its culTivaR And qUaliTy.