Commodity Trading Tips for Jeera by KediaCommodity

Ajay Kumar Kedia 11 June 2014

Jeera Jeera settled up 0.6% at 10890 on short-covering as arrivals slowed in spot markets on reports that the new government could initiate steps to control food prices. 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. Sources 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 valued Rs. 1281.56 crore have been exported, registering an increase of 89% in quantity and 83% in value over same month's last year. The market sources suggested that the total domestic Jeera production is estimated at 55-60 lakh bags in the current year against the previous estimates of 45-48 lakh bags. This is mainly due to strong production estimates in Gujarat. 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. 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 up by 5 rupees to end at 11030 rupee per 100 kg. Now Jeera is getting support at 10783 and below same could see a test of 10707 level, And resistance is now likely to be seen at 10938, a move above could see prices testing 11017.