Turmeric settled up by 1.89% at 8948 supported by arrival of good quality turmeric and receipt of some fresh upcountry orders at the spot market. However upside seen limited on account of higher output due to good rains in second part of September in southern peninsula region. While poor monsoon has hit sowing in Maharashtra the current dry spell in most of the producing centres of south India may impact the overall output of turmeric. Turmeric stocks are exhausting due to end of the season while new crop will start pouring in the market in Feb only. Turmeric stock is estimated nearly at 4 million bags across the country while new crop is expected around 7 million bags. Turmeric sowing in Andhra Pradesh stood at 15,664 hectares until Oct 7 marginally up from a year ago. During the first quarter of this fiscal, India exported 24,500 ton turmeric as against 22,699 ton a year ago thanks to higher demand from Gulf countries. India's 2014-15 turmeric export stood at 86,000 ton up from 77,500 ton a year ago. Turmeric sowing In AP, is recorded at 15,753 hectares increase over last years' acreage as well normal sowing area progress however in Telangana, the sowing area is lower than the normal sowing area at 40,823 hac compared to 43,470 hac last year. In Nizamabad, a major spot market in AP, the price ended at 8775 rupees gained 35.85 rupees.Technically market is under short covering as market has witnessed drop in open interest by -7.35% to settled at 19600 while prices up 166 rupee, now Turmeric is getting support at 8676 and below same could see a test of 8402 level, And resistance is now likely to be seen at 9162, a move above could see prices testing 9374.

Trading Ideas:

Turmeric trading range for the day is 8402-9374.

Turmeric gained supported by arrival of good quality turmeric and receipt of some fresh upcountry orders at the spot market.

However upside seen limited on account of higher output due to good rains in second part of September in southern peninsula region.

NCDEX accredited warehouses turmeric stocks dropped by 30 tonnes to 8440 tonnes.

In Nizamabad, a major spot market in AP, the price ended at 8775 rupees gained 35.85 rupees.