Reuters – Indian jeera, or cumin seed, futures struck a contract low on Wednesday due to higher domestic supplies, weak local demand and on rains, raising hopes of better sowing in the main cultivating areas.
* Jeera is a winter crop, sown from October, and farmers depend on rains to moisten the land for sowing.
* The actively traded jeera contract for August delivery was down 0.94 percent to 13,222.5 rupees per 100 kg on the National Commodity and Derivatives Exchange (NCDEX) at 1004 GMT. It hit a contract low of 13,142.5 rupees earlier in the day.
* “Local buying is subdued and unlikely to pick up in the short-term because of favourable monsoon,” said Jay Kumar Jain, a trader from Unjha, a key market in Gujarat.
* Daily spot supplies range from 8,000 to 10,000 bags of 60 kg each at Unjha, still higher than expected.
* Spot jeera fell 25 rupees to 13,626 rupees per 100 kg in Unjha.
* India is the largest jeera producer in the world, followed by Syria and Turkey.
Indian turmeric futures fell due to higher carry-forward stocks and on good progress in sowing.
* The key August turmeric contract was down 1.60 percent at 5,650 rupees per 100 kg on the NCDEX.
* “Good progress of monsoon is helping sowing activities and keeping prices under pressure,” said Punamchand Gupta, a trader from Nizamabad, a key market in Andhra Pradesh.
* The pace of sowing has helped and yields are expected to benefit from recent rains, traders said.
* Turmeric cultivation usually starts in June and continues until August. A lengthy harvesting process begins in January.
* Spot turmeric prices edged up 8 rupees to 5,656 rupees per 100 kg in Nizamabad on some overseas inquiries. (Reporting by Meenakshi Sharma; Editing by Sunil Nair)