Jeera on NCDEX settled up by 3.98% at 17905 on rising domestic as well as exports demand at the spot market. Further, reports of lower production estimates in the producing belts of Gujarat too fuelled the uptrend. Reports showed that production of Jeera in Gujarat will be 2.21 lt, down almost 11% compared to last year production of 2.38 lt. 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. This is seen as a major boost for Indian jeera exports, which are likely to be around 1 lakh tonnes, up marginally from the previous year. Jeera production in the country is likely to be around 3.4-3.8 lakh tonnes, which is about 10-12 per cent lower than last year. In Unjha, a key spot market in Gujarat, jeera edged up by 218.95 Rupees to end at 17723.1 Rupees per 100 kg. Technically market is under fresh buying as market has witnessed gain in open interest by 13.05% to settled at 10266 while prices up 685 rupees, now Jeera is getting support at 17405 and below same could see a test of 16910 level, And resistance is now likely to be seen at 18150, a move above could see prices testing 18400.

Trading Ideas:

Jeera trading range for the day is 16910-18400.

Jeera prices ended with gains on rising domestic as well as exports demand at the spot market.

Reports showed that production of Jeera in Gujarat will be 2.21 lt, down almost 11%.

NCDEX accredited warehouses jeera stocks gained by 165 tonnes to 504 tonnes.

In Unjha, a key spot market in Gujarat, jeera edged up by 218.95 Rupees to end at 17723.1 Rupees per 100 kg.