The Hindu Business Line : Pepper gains as prices in other origins rise

Brazil has raised its prices of Asta to $3,850 a tonne (c&f), while Indonesia and Vietnam were also at this level. Indian parity has shot up to $4,000 a tonne (c&f). Even Indian players were showing interest to buy from Brazil and Indonesia, market sources told Business Line.

The continuous northeast monsoon is expected to hamper the next crop. Besides, no carry over stock would be available. The next country where crop is coming up is India in December and hence everybody would be looking at India’s new crop. Indications are that the tight supply position as predicted earlier would be there next year also, keeping the prices at higher levels, market observers pointed out.

During the past two days (Saturday and Monday), the futures market went up by over Rs 1,000 a quintal.

Contract Position

November contract on NCDEX on Monday shot up by Rs 511 a quintal to Rs 14,729. The increase in other contracts was from Rs 665 to Rs 879 a quintal.

On NMCE, November contract went up by Rs 675 to Rs 14,775. The rise in other contracts was from Rs 790 to Rs 793 a quintal.

Turnover

Total turnover on NCDEX increased by 12,176 tonne, to 25,723 tonnes, while that for November, December and January went up by 36 per cent, 57 per cent and 4 per cent respectively.

On NMCE, total turnover moved up by 2,482 tonne, to 3,225 tonne,.

Open interest

Total open interest on NCDEX increased by 773 tonne, to 19,818 tonne,. November position dropped by 32 per cent, while December and January positions went up by 52 per cent and 9 per cent respectively. Total open interest on NMCE moved up by 264 tonnes to 1,794 tonnes. November position declined by 136 tonnes to 625 tonnes.

Spot price

Spot prices in tandem with the futures market trend and good buying support went up by Rs 300 a quintal on Monday to close at Rs 13,700 (un-garbled) and Rs 14,300 (MG 1).