Mixed trend in pepper

The pepper market, after witnessing high volatility on Tuesday, showed a mixed trend at the close.

The afternoon session saw the highest and lowest prices of the day.

August and October futures moved up and closed marginally higher, while September slipped to slightly below the previous day's closing.

There was liquidation in August and switching over and additional buying in September. Turnover also moved up.

On the spot, good quantities were traded to different destinations at Rs 275 a kg of Wayand and Idukki pepper.

Overseas enquiries were poured in as the availability is said to be limited. Indian parity is also said to be competitive at present. Those overseas buyers who had delayed their purchases are now entering the market, trade sources told Business Line .

Domestic demand

Domestic demand is also expected to pick up after the Raksha Bandhan next week, they said.

August contract on the NCDEX moved up by Rs 43 to close at Rs 28,720 a quintal.

September declined by Rs 36 to Rs 29,215 a quintal while October moved up by Rs 9 to close at Rs 29,637 a quintal.

Total turnover increased by 3,104 tonnes to 8,150 tonnes.

Total open interest went up by 137 tonnes to 11,596 tonnes, showing additional purchasing.

Aug open interest fell by 397 tonnes, while that of September increased by 547 tonnes and October declined by 15 tonnes.

Spot prices remained unchanged at previous levels of Rs 27,600 (ungarbled) and Rs 28,600 (MG 1) a quintal.

International market

Indian parity in the international market was at $6,600-6,650 a tonne (c&f) and remained competitive, they said. Vietnam said to have quoted $5,200 a tonne (c&f) for 550 GL black pepper.

COMMENT NOW