Jeera settled down by -0.32% at 10945 on sluggish demand from overseas buyers coupled with comfortable supplies may mount downside pressure on the prices. Jeera prices opened at 11035 against last day's closed at 10980 and again dropped to test 10940 before closing at 10945, overall traded in the range as rains in Gujarat adversely affected the trading aspects. Until rains stop, the demand may not pick up strongly. Also with sowing of the new crop to start next month, rains would be beneficial for the crop sowing as that increases the moisture content.

Traders reported arrivals at 7000 quintals, higher by 1000 quintals from previous trading day. Good quality arrivals have ensured Jeera rates are fetching premium w. r. t. International markets. As Indian Jeera prices can get benefit due to Geo- political tensions in Syria and Turkey which led to a supply crunch in the global markets raising supply concerns from the two major exporting countries. Export orders are diverted to India. Production is also expected to fall in Syria and Turkey due to crop failure.

According to IBIS India's Jeera exports have crossed 1,00,000 tonnes till Feb'14. Production of Jeera in 2013-14 is expected around 45-50 lakh bags (55 kgs each), higher than 40-45 lakh bags last. Technically market is under fresh selling as market has witnessed gain in open interest by 12.8% to settled at 4575 while prices down -35 rupee, now Jeera is getting support at 10908 and below same could see a test of 10872 level, And resistance is now likely to be seen at 11013, a move above could see prices testing 11082.

Trading Ideas:

Jeera trading range for the day is 10875-11085.

Jeera dropped on sluggish demand from overseas buyers coupled with comfortable supplies may mount downside pressure.

Production of Jeera in 2013-14 is expected around 45-50 lakh bags (55 kgs each), higher than 40-45 lakh bags last.

Indian Jeera prices can get benefit due to Geo- political tensions in Syria and Turkey which led to a supply crunch in the global markets

In Unjha, a key spot market in Gujarat, jeera remains unchanged at0 rupees to end at 11000 rupee per 100 kg.