Commodities

Marginal fall in pepper futures

G. K Nair Kochi | Updated on October 12, 2012 Published on October 12, 2012

The pepper market declined, albeit marginally, on Friday on increase in arrivals and reports of easier overseas markets and all the contracts ended slightly below the previous day’s closing.

About 50 tonnes of farm grade pepper arrived and were traded at Rs 406, 410, 413 and 415 a kg depending upon the quality, grade and area of production.

Added to this, latest reports from other origins indicated easier markets with offers at far below the Indian parity. Besides more and more material is being deposited in the exchange platform and exchange stocks have gone up to 4,179 tonnes. These factors reportedly pushed the market down, market sources told Business Line.

Pepper marked for staggered delivery so far has reached 1,574 tonnes. Upcountry demand continues to be met by supplies by stockists based in Rajasthan, they said.

Oct contract on the NCDEX decreased by Rs90 to the last traded price (LTP) of Rs43,850 a quintal. Nov and Dec contracts also dropped by Rs 80 and Rs 135 respectively to the LTP of Rs 43,800 and 43,300 a quintal.

Turnover

Total turnover increased by 549 tonnes to close at 1,858 tonnes. Total open interest went up by 157 tonnes to close at 7,530 tonnes.

Oct open interest decreased by 202 tonnes to close at 1,642 tonnes while that of Nov and Dec increased by 206 tonnes and 126 tonnes respectively to 4,339 tonnes and 1,128 tonnes showing switching over and additional buying. And yet the market dropped.

Spot prices remained unchanged on matching demand and supply at the previous levels of Rs 40,600 (ungarbled) and 42,100 (garbled) a quintal.

Indian parity in the international market was at $8,500 a tonne (c&f) for Europe and $8,800 a tonne (c&f) for the US.

Published on October 12, 2012
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