Mixed trend in pepper market on limited activity

Pepper market on Thursday witnessed a mixed trend on limited activity on both the domestic and export front.

Only agents were allegedly by high density bulk pepper from the high ranges at Rs 284 a kg. Some dealers from Tamil Nadu were also covering small quantities.

Karnataka was offering at Rs 285 a kg delivered anywhere in India, and thus catering to the little domestic demand, market sourced told Business Line .

The total turnover has dropped with thin open interest indicating limited activities.

Reported landslides in high ranges following continuous rains have restricted movement of pepper and that in turn has also slowed down activities, they claimed.

August contract on NCDEX declined by Rs27 to close at Rs 29,320 a quintal. September and October moved up by Rs 68 and Rs 25, respectively, to close at Rs 29,804 and Rs 30,203 a quintal. Total turnover fell by 3,954 tonnes to 4,314 tonnes. Total open interest declined by 88 tonnes to 15,334 tonnes.

August and September open interest dropped by 79 tonnes and 80 tonnes, respectively, to 9,346 tonnes and 4,672 tonnes, while that of October moved up by 45 tonnes to 1,096 tonnes.

Spot prices remained unchanged at previous levels on limited activities at Rs 27,900 (ungarbed) and Rs 28,900 (MG 1) a quintal.

Indian parity in the international market was at $6,850 - $6,875 a tonne (c&f) remained out priced. Activities in the overseas markets were slow and it is expected to pick up from Monday, they said. Vietnam is said to have quoted lower and according to unconfirmed reports shipped out 12,000 tonnes of pepper in July, 2011. Vietnam FAQ 500 GL black pepper was reportedly traded on Thursday evening at $5,950 a tonne (c&f) Rotterdam September shipments. (freight $100/tonne). There were very few sellers only.

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