Indian Jeera futures traded flat on Thursday and closed marginally in the red at 13950 rupees per quintal. Losses were however limited by strong export demand as leading producers, Syria and Turkey, continue to quote jeera at a premium to Indian prices. Prices have fallen over 15 % after the long rally in November, when prices rose by over a quarter.
Domestic demand is normal for this spice but continuity of weak demand is limiting the gain in prices. Sowing is near completion but acreage estimates will only be available by the end of this month. For NCDEX January contract volume and open interest has gone up by 45.16% and 9.48% respectively on Wednesday, which indicates a turn to higher side.
Spot rate in the major market at Unjha is hovering in the range of Rs 14000-14200 per quintal. Stock position at NCDEX accredited warehouses is 3192 tonnes as per the latest update of 15 Dec’09, higher by 264 tonnes as compared to previous update. Increasing stocks in exchange warehouses indicate preferred selling on futures.
Source : commodityonline.com