Jeera July contract gained Rs 60 and settled at Rs 13117.5 per quintal as decline in daily local supplies supported buying at lower levels. Although daily arrivals at Unjha, a major market in the western state of Gujarat, have dropped to about 5,000 bags to 6,000 bags of 60 kg each from 7,000 bags to 9,000 bags in the previous week. Traders mentioned that the current availability of jeera is reported at around 8-9 lakh bags at the beginning of June month against 15 lakh bags that were reported in the last year in the same period. In international market, the major supplies are coming from Syria and Turkey. Together they produced around 47000-49000 tonnes of jeera. But in the current year due to erratic weather during the sowing period, the total production from these countries are likely to be restricted in the range of 33000 tonnes, down almost 30-35% from the last year. The total arrivals decreased to 8,000 bags from 12,000 bags, while demand was seen for around 13,000 bags against 10,000 bags on Monday. In Unjha, a key spot market in Gujarat, jeera dropped -33.85 rupees to end at 13407.5 rupees per 100 kg. The contract made intraday low of Rs 12982.5 a kg and high of Rs 13147.5 a kg. Support for jeera is at 13018 below that could see a test of 12918. Resistance is now seen at 13183 above that could see a resistance of 13248.

Trading Ideas:

Jeera trading range for the day is 12918-13248.

Jeera gained as decline in daily local supplies supported buying at lower levels.

The total production from these countries are likely to be restricted in the range of 33000 tonnes

NCDEX accredited warehouses jeera stocks dropped by 14 tonnes to 11027 tonnes.

In Unjha, a key spot market in Gujarat, jeera dropped -33.85 rupees to end at 13407.5 rupees per 100 kg.