Pepper futures on Tuesday witnessed a mixed trend, with June contract dropping marginally, while nearby contracts moved up significantly on liquidation and buying support .

Meanwhile, the tug-of-war continued between the bull and bear operators, trade sources said.

There were efforts to talk down the market by spreading bearish reports, they alleged.

Exporters having commitments for June and July, are reportedly trying to cover. But, availability on the exchange platform, is limited.

Deposit

Some estimated 250 tonnes of fresh pepper were deposited. But, depositing would be restricted now because of the rainy conditions prevailing in the State, market sources told Business Line .

Some were offering farm grade pepper at Rs270 a kg in the plains, against Rs 265 a kg for Karnataka pepper delivered anywhere in India evading tax. However, major growers in Karnataka are not selling in this route, they said.

The average moisture content in the Karnataka pepper is 14.5 per cent, which is at the higher levels, they alleged.

June contract on NCDEX dropped by Rs 54 to close at Rs 28,867 a quintal.

July and August increased by Rs 252 and Rs 259, respectively, to close at Rs 28,750 and Rs 28,819 a quintal.

Total turn over fell by 4,926 tonnes to 7,079 tonnes. Total open interest declined by 72 tonnes to 14,578 tonnes.

June open interest fell by 99 tonnes, while that of July and August moved up by 127 tonnes and three tonnes, respectively, to 2,156 tonens and 683 tonnes showing additional buying.

Spot prices on selling pressure in Karnataka, coupled with the onset of monsoon and consequent wet conditions, dropped by Rs 200 to close at Rs 27,000 (ungarbled) and Rs 27,800 (MG 1) a quintal.

Indian parity in the international market remained at $6,600 a tonne (c&f) for Eruope and $6,700 a tonne (c&f) for the USA and continued to remain out priced.

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