The Hindu Business Line : Pepper futures market declines

Another factor that contributed to the decline is that Indonesia started offering August below our parity of 1,850 a tonne (C&F) at $1,825 a tonne (C&F). However, Vietnam was quoting at 1,950 a tonne (C&F) while Brazil was said to be offering July at $1,665 (C&F) from southern Brazil where harvesting is under way. Similarly, US players were propagating that Ecuador was also offering at $1,700 - $1,750 a tonne (C&F).

Limited availability

But, availability from south Brazil and Ecuador would be very much limited, market sources told Business Line, adding they were "just testing our market and to influence as to fall in line with Indonesia", they said.

The July contract was down at NCDEX on Friday by Rs 54 a quintal to close at Rs 7,590 from Rs 7,644 on Thursday while at NMCE it dropped by Rs 55 to close at Rs 7,555 from Rs 7,610 a quintal.

The decline of all other positions was from Rs 10 to Rs 66 a quintal at NCDEX while at NMCE it was from Rs 7 to Rs 28.

Turnover firm

The total turnover at NCDEX was 9,660 tonnes as against 9,455 tonnes where as at NMCE it was 2,209 tonnes compared to 1,566 tonnes.

The total open interest at NCDEX was 17,404 tonnes as against 17,047 tonnes on Thursday. At NMCE it was 3,136 tonnes compared to 2,979 tonnes. The outstanding position for July and August at NCDEX on Friday was 3,945 tonnes and 6,925 tonnes respectively.

The domestic market continued to rule steady. The North Indian buyers are waiting for a decision on imports from Sri Lanka. There was no selling pressure in the spot. The prices remained at the previous level of Rs 7,200 (un-garbled) and Rs 7,600 (MG 1) a quintal.