The Hindu Business Line : Pepper prices rule high

Kalpetta (Kerala): Pepper prices are on an uptrend fuelled by high festival season demand and scanty arrival of the commodity in the market. The spot price of MG-1 pepper touched Rs 132 a kilogram this week against Rs 90 per kg in the corresponding peri od last year while the futures price closed at Rs 141 against Rs 110 last year.

According to trade circles in Wayanad district, a major pepper-growing region of the country, the momentum is likely to persist considering the expected fall in production in the coming harvest season due to climatic factors. The stock in the futures ex change was likely to go down considerably by the month-end as soaring prices would naturally prompt the big growers to preserve their stocks for still higher prices and small-producers to sell the commodity at their disposal for attractive spot prices, a leading trader told PTI.

The demand-supply gap of the commodity was expected to grow at least till February when the fresh stocks begin to arrive in the market. Here too, there were uncertainties regarding the quantum of output this year as the area had been hit by heavy and un seasonal rains, trade circles said. PTI

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