Jeera settled down -0.78% at 10825 as supplies improved in the spot markets of western India. Further, high inventories in local mandis along with mounting supplies in local mandis further fueled the downtrend. Jeera arrivals declined in the Unjha mandi over last previous month. Jeera prices have been under pressure for last few months amid hopes of a strong harvest. Traders are expecting that exports of the commodity should rise in coming months amidst reports of lower production in Turkey and Syria. Latest reports from the Spices Board during the period April-December 2013, a total quantity of 96,500 tonnes of cumin have been exported, registering an increase of 89% in quantity. As per the latest data release by Gujarat Agriculture Board, the total sowing acreage of Jeera in the state has been increased by 1.05 lakh hectares from the last year to reach 4.54 lakh hectares due to favorable weather conditions and strong export demand in local mandies. Sources estimated that the total production of the Jeera is likely to increase by 10 lakh bags to reach around 46 lakh bags in the current year. The strong carryover stocks in local mandies also added selling in Jeera market as traders estimated that around 5-6 lakh bags of Jeera has been reported in major producing areas , up almost 2-3 lakh bags from the previous year. In Unjha, a key spot market in Gujarat, jeera edged down by -42.65 rupees to end at 11025 rupee per 100 kg. Technically market is under fresh selling as market has witnessed gain in open interest by 12.43% to settled at 6567, now Jeera is getting support at 10773 and below same could see a test of 10672 level, And resistance is now likely to be seen at 10963, a move above could see prices testing 11052.

Trading Ideas:

Jeera trading range for the day is 10655-11035.

Jeera ended with losses as supplies improved in the spot markets of western India.

Further, high inventories in local mandis along with mounting supplies in local mandis further fueled the downtrend.

The total production of the Jeera is likely to increase by 10 lakh bags to reach around 46 lakh bags in the current year.

In Unjha, a key spot market in Gujarat, jeera edged down by -42.65 rupees to end at 11025 rupee per 100 kg.