Commodities

Uptrend continues in pepper amid tight supplies

G. K. Nair Kochi | Updated on October 28, 2013 Published on October 28, 2013

BL29_COM2_PEPPER

Spot pepper prices continued to scale new highs, while Novemner futures contract also increased.

End users and dealers in consumers markets who have sold out their stocks are look for fresh supplies, while small and medium end users are looking for material.

Added to this is the demand for winter requirements, market sources told Business Line.

Those who were hither to covering from Karnataka have started buying from inter-State dealers in Tamil Nadu and Kerala.

Resellers and expert processors are selling processed 550 GL pepper in small lots, they said. In fact, of late, much of the pepper business has shifted to Tamil Nadu because of tax benefits and to Karnataka due to consistent rise in production there, they said.

But, availability continued to remain tight, they said.

On the spot, 23 tonnes of farm grade pepper arrived and 25 tonnes were traded at prices ranging from Rs 467-470 a kg.

On the NMCE, November contract increased by Rs 360 to Rs 47,500 a quintal. December contracts declined by Rs 70 to Rs 46,800 .

On the IPSTA, activities were limited and hence, prices ruled steady.

Spot prices moved up further by Rs 200 on strong demand amid tight supply to Rs 46,600 (ungarbled) and Rs 48,600 (garbled) a quintal.

Indian parity in the international market declined on weakening of the rupee against the dollar today to $8,250-8,300 (c&f) Europe and $8,550-8,500 a tonne (c&f) for the US.

Published on October 28, 2013
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