Jeera settled up 0.39% at 11715 on account of domestic as well as overseas demand coupled with declining arrivals. The arrivals are dropping now and this trend is likely to keep buyers in the hunt. Comfortable supplies on the back of record output along with huge carryover stocks amid weak demand may limit prices.

Traders are expecting that exports of the commodity should rise in coming months amidst reports of lower production in Turkey and geopolitical crisis Syria. In Mehsana estimated market supply was at 10000 quintals, unchanged as compared to previous day’s arrival. In Rajkot arrivals were reported at 480 quintals, lower by 105 quintals as compared to previous day. While the jeera production has been good in the current year, prediction of a weak monsoon in the coming weeks could affect the sowing prospects.

Jeera exports have been doing well and it should be above one lakh tonne in last year with India becoming the sole supplier in the world with supply problems in two other producers Syria and Turkey. The jeera crop is estimated to be between 3.5 to 4 lakh tonne. With concerns on the advance of monsoon and the impact of El Nino and high demand, the prices could move in the range. Unjha, a key spot market in Gujarat, jeera edged up by 32.35 rupees to end at 11727.05 rupee per 100 kg. Technically market is under short covering as market has witnessed drop in open interest by -5.59% to settled at
6897 while prices up 45 rupee, now Jeera is getting support at 11583 and below same could see a test of 11452 level, And resistance is now likely to be seen at 11873, a move above could see prices testing 12032.

Trading Ideas:

Jeera trading range for the day is 11452-12032.

Jeera prices gained on account of domestic as well as overseas demand coupled with declining arrivals.

Comfortable supplies on the back of record output along with huge carryover stocks limited upside.

The arrivals are dropping now and the trend is likely to keep buyers in the hunt.

In Unjha, a key spot market in Gujarat, jeera edged up by 32.35 rupees to end at 11727.05 rupee per 100 kg.