Kochi, July 2
Pepper futures market continued to soar on anticipation of increased demand from overseas. The week witnessed a sharp increase ranging from Rs422 to Rs629 a quintal for all the contracts.
During the past two days, there was no demand from abroad. However, in the early days of the week some business took place. Buying interest was there from the local arm of the multinationals. Besides, exporters were buying available quantity at sellers' price. North Indian stockists were also buying speculating an increase in prices in the coming days.
Global prices high
In the international market, prices are ruling high. Indonesia had raised its price to $1,750 a tonne (c&f) and Vietnam was offering at $1,800 albeit the US players were spreading rumours that Vietnam had reduced its price to $1,780 a tonne. Indian parity is at $1,775 a tonne.
Market sources told Business Line that the undertone was firmer as the commodity was available only in India at present. It is reflected on the prices of futures contracts, which had gone up by Rs 422 to 587 during June 24 - July 1 on NCDEX. July position was up by Rs 187 a quintal at Rs7,450 from Rs 7,263 on Friday. The rise in the July contract during the past week was Rs 587 a quintal. On NMCE, July contracts went up by Rs 210 a quintal to Rs 7,460.
The increase in all other positions on NCDEX on Saturday was from Rs 186 to Rs 219 a quintal, while on NMCE it was from Rs 175 to Rs 249 a quintal.
Spot prices moved up by Rs 50 a quintal on Saturday to MG 1 to Rs 7,350 and un-garbled to Rs 6,950 a quintal. The increase in the spot prices during the week was Rs 400 a quintal from the previous Saturday's close.