Jeera on NCDEX settled up by 0.35% at 17410 due to reports of dwindling physical supplies and slow start to the new season sowing in Gujarat and Rajasthan. Earlier, pickup in physical demand and expecting dwindling supplies in the physical market pushed the prices. Good sowing prospects for jeera in Gujarat and Rajasthan are pressurizing the prices as the sowing season is about to commenced. According to the trade sources, jeera exports may have raise by 29% to 58,000 tonnes in Apr-Aug compared to last year figure of 45,000 tonnes. According Department of commerce data, the exports of Jeera in the first four months (Apr-Jul) of 2016-17 is at 51,904 tonnes, higher by 61.5% compared to last year same time. The exports of jeera during July 2016 decrease 20% m/m to 7,881 tonnes but increase y/y by 27.3%. Indian cumin is priced $200 lower than the stock in Syria and Turkey at $2500 per tonne but there are no takers with China going slow on purchase. The bankruptcy of Hanjin shipping company also led to delay in shipments affecting exports. The political turmoil in Syria and the depletion of stocks in that country and Turkey, which are the two major producers of cumin after India, could lead to a shift in demand to India in the coming months. In Unjha, a key spot market in Gujarat, jeera remains unchanged at0 rupees to end at 17466.65 rupee per 100 kg.Technically market is under fresh buying as market has witnessed gain in open interest by 7.89% to settled at 6357 while prices up 60 rupee, now Jeera is getting support at 17280 and below same could see a test of 17150 level, And resistance is now likely to be seen at 17530, a move above could see prices testing 17650.

Trading Ideas:

Jeera trading range for the day is 17150-17650.

Jeera prices gained due to reports of dwindling physical supplies and slow start to the new season sowing in Gujarat and Rajasthan.

Good sowing prospects for jeera in Gujarat and Rajasthan are pressurizing the prices as the sowing season is about to commenced.

NCDEX accredited warehouses jeera stocks dropped by 90 tonnes to 1533 tonnes.

In Unjha, a key spot market in Gujarat, jeera remains unchanged at0 rupees to end at 17466.65 rupee per 100 kg.