My friend went to Thailand and brought me back a bag labelled "Saffron" that contains a spice that's the right color, but ground, not in threads. A) Is it really saffron and B) How would you convert quantity for ground vs. threads?
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Proper saffron provides not just colour, but also a very strong flavour, which is why a few threads are sufficient for most dishes.
I know in Egypt they have huge bags of 'saffron' at the spice shops in the tourist markets. Were it real saffron, they wouldn't be sitting in a Cairo market flogging stuff to tourists!
I also can't imagine that Thailand produces much saffron. The crocus from which saffron comes doesn't particularly like a hot, damp climate.
Sorry, Bea, for putting you second. What a great friend you have! Anyone who would brave Customs by bringing a bag of powder labeled "Saffron" is a good friend indeed, because it is kind of like buying drugs: Unless you use it frequently it's best to purchase it in small amounts, like a gram or less at a time. Like most herbs and spices, whole things have a longer shelf-life than things that are chopped, ground, etc. Ground saffron must be stored in a cool dark place and should be used within 6 months of purchase, but saffron threads can be kept for three years if stored properly. Also, ground saffron can be "cut" with turmeric and other herbs/spices (again, just like drugs), but it's pretty hard to fake saffron threads. If you want to be sure, do what Mr_Vittles suggests and send it to a lab.
If a recipe calls for 1/2 teaspoon of threads, use a pinch less than 1/4 teaspoon of ground saffron. And be very careful to not use too much--I had paella once that had so much saffron it tasted bitter, the way codeine cough syrup tastes. It was so yellow it was almost orange.