The Hindu Business Line : Pepper futures market rules steady

Indian importers, mostly from the grinding industry, said to have covered 3,000 tonne of Asta grade Indonesian pepper at $3,300-3,350 a tonne (c&f) and 1,000 tonne of the commodity from Brazil at $3,050 a tonne (f.o.b.). When freight is added it would also cost $3,300 a tonne, market sources told Business Line.

Indian parity still remained at $3,550-3,600 a tonne (c&f).

Brazilian berries are bold and the past experience was that part of it was being sold as “Wayanadan Pepper”. Trading sources apprehended that similar operations could take place this year also.

The pepper is being imported for value addition such as sterilization, grinding, and export.

Meanwhile, some of the exporters said to have covered 150 tonne of selected quality pepper from the primary markets in Kerala’s Idukki district at $130 a Kg.

Harvesting in India is delayed and it is expected to begin Dec-end or early January 2008, they said.

International market trend would be known on Tuesday.

CONTRACT POSITION

December contract on NCDEX on Monday declined marginally by Rs 5 a quintal to close at Rs 13,070 from Rs 13,075. All other contracts except March and April moved up slightly by Rs 1 to Rs 11 a quintal. March and April declined by Rs 34 and Rs 24 a quintal respectively.

On NMCE December contract dropped by Rs 61 a quintal to close at Rs 12,950 from Rs 13,011. All contracts moved up by Rs 20 to Rs 37 a quintal except March which declined by Rs 4 a quintal.

Total turnover on NCDEX increased by 1,684 tonne to 9,473 tonne. December and January turn over moved up by 9 per cent and 82 per cent respectively.

On NMCE total turnover went up by 54 tonne to 1,065 tonne.

Total open interest on NCDEX declined by 25 tonne to 19,503 tonne.

December position dropped by 23 per cent while January and February moved up by 53 per cent and 13 per cent respectively.

On NMCE total open interest moved up 20 tonne to 1,527 tonne.

Spot prices ruled steady at previous levels at Rs 12,700 (un-garbled) and Rs 13,300 (MG 1) a quintal on Monday.