Jeera on NCDEX settled up by 1.5% at 17220 on reports of lower production estimates in the producing belts of Gujarat. Lower carryover stock coupled with higher export demand may push up jeera prices, as traders fear tight supply conditions in the coming months. The carryover stock has dipped to about 2 lakh bags (each of 55 kg) as against the normal 20-25 lakh bags, thereby reducing the availability even as the demand for exports and domestic consumption remains firm, trader sources said. Turkey and Syria, India’s key competitors in the international market, are less likely to add supplies as the production in these countries is believed to hover at around 12,000 tonnes and 20,000 tonnes, respectively. Reports showed that the production of Jeera in Gujarat will be 2.21 lt, down almost 11% compared to last year production of 2.38 lt. Moreover, expectation of improved exports demand in coming weeks too fuelled the uptrend. On the export front, India in 2016-17 is likely to cross 1.2 lt against 94,352 tons a year ago while the exports increase by 36.7% to 93,724 tons in first 10 month of marketing year 2016/17. At Anandpur Kalu(Raj.) sources reported arrivals at 500 quintals, steady as against previous day’s arrival. At Rajkot market in Rajkot(Guj.), total arrivals are at 1800 quintal, steady as against previous day’s arrival. In Unjha, a key spot market in Gujarat, jeera edged up by 89.85 Rupees to end at 17504.15 Rupees per 100 kg. Technically market is under fresh buying as market has witnessed gain in open interest by 2.06% to settled at 9081 while prices up 255 rupees, now Jeera is getting support at 16960 and below same could see a test of 16695 level, And resistance is now likely to be seen at 17385, a move above could see prices testing
17545.

Trading Ideas:

# Jeera trading range for the day is 16695-17545.

# Jeera prices ended with gains on reports of lower production estimates in the producing belts of Gujarat.

# The carryover stock has dipped to about 2 lakh bags (each of 55 kg) as against the normal 20-25 lakh bags.

# NCDEX accredited warehouses jeera stocks gained by 30 tonnes to 339 tonnes.

# In Unjha, a key spot market in Gujarat, jeera edged up by 89.85 Rupees to end at 17504.15 Rupees per 100 kg.