Turmeric settled up 1.54% at 6704 as adverse Monsoon reports and expected pick up in demand in coming days supported the market sentiments. Further, buying by retailers and stockists amid paucity of stocks on restricted arrivals from producing belts also influenced the prices. Spot turmeric prices declined on the back of slack demand for the spice from North India. Farmers brought only 2,700 bags and traders procured only 50 per cent of the total arrival. The traders are having limited demand from North India and hence bought limited stocks. The Nizamabad turmeric market reopened on Monday and 35,000 bags arrived for sale. The response was encouraging but prices did not appreciate and were at a par with Erode turmeric. Some farmers expect prices to rise by the last week of May. The price of the Salem Hybrid finger decreased by Rs.50 a quintal due to arrival of medium variety hybrid turmeric. But traders quoted Rs.200 more for the hybrid root turmeric due to quality. Only 100 bags of hybrid root variety arrived and were sold. The market projected that the total production of turmeric in the current year is estimated at 52 lakh bags against 70 lakh bags that were estimated in the last year. The sources added that poor rainfall in Erode during the sowing period will reduce the total production of the turmeric crop in the current year. In Nizamabad, a major spot market in AP, the price ended at 6158.7 rupees dropped -29.3 rupees. Technically market is under short covering as market has witnessed drop in open interest by -5.53% to settled at 12375, now Turmeric is getting support at 6619 and below same could see a test of 6529 level, And resistance is now likely to be seen at 6773, a move above could see prices testing 6837.

Trading Ideas:

Turmeric trading range for the day is 6527-6835.

Turmeric ended with gains as adverse Monsoon reports and expected pick up in demand in coming days supported the market sentiments.

Further, buying by retailers and stockists amid paucity of stocks on restricted arrivals from producing belts also influenced the prices.

Farmers brought only 2,700 bags and traders procured only 50 per cent of the total arrival.

In Nizamabad, a major spot market in AP, the price ended at 6158.7 rupees dropped -29.3 rupees.