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India spices fall on weak demand, turmeric rises.


Date: 08-01-2010
Subject: India spices fall on weak demand, turmeric rises

MUMBAI, Jan 8 (Reuters) - India's jeera futures extended losses for the fifth consecutive session on Friday on weak spot demand, higher output estimates and sufficient stocks, analysts said.

Jeera is grown as a rabi, or winter-sown crop, in October-December and harvested in February, March and April.

Jeera exports in November 2009 dipped to 4,000 tonnes from 4,500 tonnes in the same period a year ago.

At 10.29 a.m., benchmark February jeera NJEG0 was down 1.07 percent at 13,635 rupees per 100 kg.

PEPPER:

Indian pepper futures also opened lower on lack of export demand and as arrivals gained momentum, analysts said.

Pepper exports have remained sluggish throughout the year which began in April 2008, mainly due to premium Indian prices. Exports declined by 29 percent to 1,500 tonnes in November.

India's pepper output in 2010 is expected around last year's levels, but prices are unlikely to fall sharply in coming months due to low carry-over stocks, a Reuters poll of eight traders, exporters and analysts showed.

At 10.37 a.m., benchmark February pepper NPEG0 was down 0.13 percent at 13,934 rupees per 100 kg.

TURMERIC:

India's turmeric futures snapped a three-day losing streak on thin stocks, though the begining of new crop arrivals in small quantities coupled with hopes of higher output and a drop in exports in November weighed on prices, analysts said.

India's turmeric exports in November dropped by 33 percent to 3,000 tonnes, the Spices Board said last week.

At 10:38 a.m., the April turmeric contract NTMJ0 was up 1.33 percent at 7,460 rupees per 100 kg.

Carry-forward stocks were low as output had fallen steeply last year due to low acreage and bad weather.

Source : REUTERS


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