The pepper market showed a mixed trend on Friday with the running contract moving up while the nearbys dropping following concerted efforts by operators to pull down the market.
Rumours were spread that there were no takers for fresh pepper even at Rs 390 a kg. Meanwhile, interstate dealers from Wayanad were reportedly on a buying spree in Idukki, Pathanamthitta and Kottayam districts.
Sellers were covering back on the exchange while some were switching over to safeguard their hedge, market sources told Business Line.
March contract opened on a firm note with Rs 35,975 the highest price of the day and traded with high volatility and downward trend in the opening and forenoon sessions. In the beginning of the noon session, it started recovering to fall in the afternoon session.
In the beginning of the closing session again recovered and then fell to the lowest price of the day of Rs35,685 a quintal and then recovered to the last traded price of Rs 35,815,.
On the spot, only 32 tonnes of fresh pepper arrived and of it, 30 tonnes were traded at Rs 395 a kg for the material from the plains in Pathanamthitta and Kottayam districts and Rs 405 a kg for the pepper from the High Ranges. Low Bulk Density pepper of below 500 GL was being bought by dealers from Jharkhand and Bihar, they said.
February contract on the NCDEX increased by Rs 170 to close at Rs 38,750 a quintal. March and April prices decreased by Rs 205 and Rs 165 respectively to close at Rs 35,810 and Rs 34,640 a quintal.
Total turnover fell by 367 tonnes to 1,205 tonnes. Total open interest moved up by 48 tonnes to 3,648 tonnes.
February open interest slipped by 14 tonnes to 672 tonnes while that of March and April went up by 31 tonnes and 15 tonnes respectively to close at 2,112 tonnes and 569 tonnes.
Spot prices in tandem with the futures market trend and bearish propaganda dropped by Rs100 a quintal to close at Rs 39,500 (ungarbled) and Rs 41,000 (MG 1) a quintal.
Indian parity in the international market was at $8,000 a tonne (c&f) for prompt Feb shipment at spot prices and $7,600 a tonne (c&f) for February and $7,000 a tonne (c&f) for March.
Keywords: pepper market,