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Home International News India

India spices fall on higher output hopes

ToP by ToP
August 25, 2010
in India, International News
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Aug 25 (Reuters) – India’s turmeric futures hit fresh contract lows on Wednesday morning on prospects of bumper crop after farmers expanded acreage under the spice, analysts said.

Good rainfall in the growing areas also depressed sentiments, they said.

At 11:15 a.m., the most active September turmeric NTMU0 was down 2.11 percent at 12,870 rupees per 100 kg after hitting a contract low of 12,806 rupees earlier in the session.

Area under turmeric in southern states of Andhra Pradesh and Karnataka has risen 21.5 percent and 19 percent respectively in 2010/11 as the spice gave higher returns last year, two government officials told Reuters. See[ID: nBMB011174]

The two states account for more than half the total production in India, the world’s biggest producer of the spice.

JEERA:

India jeera futures fell on a drop in exports and as market was expecting higher sowing in the upcoming season due to good moisture in the soil, analysts said.

In India the jeera is cultivated in the winter months, October to December, and harvested from February to April.

The most active September jeera NJEU0 was down 2.4 percent to 14,391 rupees per 100 kg.

Jeera exports in April-July 2010 fell 19 percent to 13,500 tonnes from the same period a year ago. See [ID:nSGE67N0GJ]

PEPPER:

India pepper futures fell in early trade tracking weakness in other spices, though an improvement in the exports limited the downside, analysts said.

September pepper NPEU0 fell by 1.45 percent to 21,140 rupees per 100 kg.

India’s pepper exports rose 2 percent to 6,750 tonnes in April-July 2010 from the same period a year ago.

(Reporting by Rajendra Jadhav; Editing by Ramya Venugopal)

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