Turmeric yesterday we have seen that market has moved -3.52% on higher stocks from the fresh crop amid higher production concerns. Good arrivals and higher crop prospect have been pressurizing prices. Traders expect short term trend to remain volatile but any rise in demand could perk up prices that had fallen significantly over last few months due to high arrivals in the mandis. Good stocks and increased selling pressure along with weak demand in the mandis have kept trend weak for the commodity over the last few weeks. The sowing period is from June-August and harvesting begins in January. High moisture content in the current crop kept demand low and thus kept pressure on the market prices. With an expected 5-6 lakh bags of old stocks with farmers, there are expectations of higher arrivals of these stocks in the markets before new crop arrivals. Turmeric production for the year 2011-12 is projected at historical high of 90 lakh bags compared to 69 lakh bags in 2010- 11. Erode is expected to produce 55 lakh bags of Turmeric a rise of 29% as compared to previous year. The arrivals in the Nizamabad mandi stood steady at 4,000 bags. The arrivals in the Erode mandi slumped to 7,000 bags from 9,000 bags. In Nizamabad, a major spot market in AP, the price ended at 3747.9 rupees gained by 2.65 rupees. Market has opened at 4110 & made a low of 3926 versus the day high of 4118. The total volume for the day was at 24805 lots and the open interest was at 27815.Support for turmeric is at 3874 below that could see a test of 3804. Resistance is now seen at 4066 above that could see a resistance of 4188.
Turmeric trading range for the day is 3804-4188.
Turmeric declined on higher stocks from the fresh crop amid higher production concerns
Good arrivals and higher crop prospect have been pressurizing prices.
NCDEX accredited warehouses turmeric stocks gained by 79 tonnes to 6636 tonnes.
In Nizamabad, a major spot market in AP, the price ended at 3747.9 rupees gained by 2.65 rupees.