Menthaoil settled down -0.58% at 821.9 due to sluggish demand from consuming industries in the spot market against increased supplies from producing belts. The total production of mentha oil is estimated around 54-55 thousand tonnes in the current year against 45 thousand tonnes of the last year. This is mainly due to the better price realization and favourable crop conditions. Mentha oil Production this year expected higher at more than 60000 tons versus 50000 tons last year due to higher demand from pharmaceutical industries. The area under crop this year expected higher at 2.10 lakh hectares versus 1.75 lakh hectares last year. The market picture for mentha oil looks weak as higher output and high stock levels put a stop on the markets from recovering in a big way. India's production of mentha oil may touch 60000 tons this year. Area under crop may touch 2.10 lakh ha vs 1.75 lakh ha last year. Moreover, the total opening stocks of Mentha oil are estimated at 13000-15000 tonnes for the current year. Production this year expected higher at more than 60,000 tons against 50,000 tons last year. Technically market is under long liquidation as market has witnessed drop in open interest by -3.68% to settled at 5186 while prices down -4.8 rupee, now Menthaoil is getting support at 819.2 and below same could see a test of 816.6 level, And resistance is now likely to be seen at 825.9, a move above could see prices testing 830.

Trading Ideas:

Menthaoil trading range for the day is 816.6-830.

Menthaoil spot is at 936/-. Spot market is down by Rs. 11/-.

Mentha oil ended with losses due to sluggish demand from consuming industries in the spot market against increased supplies.

The total production of mentha oil is estimated around 54-55 thousand tonnes in the current year against 45 thousand tonnes of the last year

Mentha oil Production this year expected higher at more than 60000 tons versus 50000 tons last year due to higher demand