Pepper prices continued to head north on good buying support on the spot and on IPSTA trading. Domestic demand has aided the price rise, market sources told Business Line .

High Bulk Density pepper is in good demand. Local arm of multinational companies with multi-origin operations were buying Idukki and Rajkumari pepper at Rs 342-345 and Rs 347 a kg respectively.

Processors who were buying Karnataka and North Malabar pepper were also buying high range pepper for mixing so as to convert it as 550 GL pepper, they said.

On the spot, 56 tonnes of pepper arrived and 55 tonnes were traded all afloat. Karnataka pepper was sold at Rs 330-332 a kg while Wayanad (Pulpally and Battery) pepper was being sold at Rs 337. High range pepper was fetching Rs 342-345 and Rajakumari Rs 347.

Due to the summer showers in the pepper growing regions of Kerala, the pepper arriving at present has high moisture content of 13-13.5 per cent against the permissible 12 per cent, the trade claimed, and “this phenomenon is pushing up the parity,” they added.

June contract increased by Rs 175 to close at Rs 35,400 a quintal. July contract went up by Rs 225 to close at Rs 35,500 . August surged by Rs 332 to close at Rs 35,657.

Total open interest moved up by four tonnes to 27 tonnes. Total turnover increased by 20 tonnes to 110 tonnes.

Spot prices moved up by Rs 100 to close at Rs 33,700 (ungarbled) and Rs 35,200 (MG 1) a quintal on good buying support. The international market witnessed a softer trend in Vietnam and Indonesia today and though that has had some influence on the market here the good domestic demand has played the positive role and kept the market firmer here, they said.

Indian parity in the international market was at $6,575 (c&f) for June shipments and $6,675 a tonne (c&f) for July.

Related Topics
comment COMMENT NOW