Pepper futures turn hot on bullish activities

Pepper futures on Tuesday bounced back on bullish activities/reports pushing up all the contracts significantly.

The market opened at lower levels and moved up to the highest price and slid slightly at the time of closing.

In fact, in the opening hours there were more sellers on the exchange platform and at one stage as against buyers for 290 tonnes there were sellers for about 1,000 tonnes.

Vietnam prices remained firmer as Dubai-based international operators reported to have bought huge quantities of pepper from there.

Storage and funds facilities are said to be cheaper in Dubai and these operators appear to have taken over the pepper market also, market sources told Business Line .

Domestic market

Domestic market is expected to pick up when the markets open on April 4 in the next fiscal, they said. April contract on the NCDEX shot up by Rs 465 to close at Rs 24,574 a quintal.

May and June increased by Rs 487 and Rs 463 respectively to close at Rs 24,950 and Rs 25,255 a quintal.

Total turn over increased by 838 tonnes.

Total open interest moved up by 274 tonnes to 11,028 tonnes.

April open interest dropped by 236 tonnes to 7,645 tonnes while that of May and June moved up by 446 tonnes and 57 tonnes respectively to close at 2,867 tonnes and 377 tonnes.

Spot prices in tandem with the futures market trend shot up by Rs 300 to close at Rs 23,000 (ungarbled) and Rs 23,800 (MG 1) a quintal.

In the international market the Indian parity has gone up to $5,725-5,750 a tonne (c&f). Buyers are on a wait-and watch mode now as the prices are reportedly turned firmer in all the origins.

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