Jeera October contract gained Rs 285 and settled at Rs 14485 per quintal on improved demand from overseas buyers, local buying in the festive season and limited supplies. Daily arrivals at the Unjha market in the top producer state Gujarat are 3,000-3,500 bags of 60 kg each against the trade of 8,000 bags. Demand is strong from both local and overseas buyers and is expected to stay firm in the short term. Jeera is a winter crop sown from October, and farmers depend on rains to moisten the land for sowing. The total arrivals remained unchanged at 4,000 bags, while demand was seen for around 11,000 bags against 6,000 bags.. However, prospects of better sowing due to favourable weather conditions restricted any sharp gains. Jeera prices have been on a corrective mode since many months and recently prices seem to have taken a pause from weakness. Prices are making higher lows, gradually though as seasonal demand provides the undercurrent for recovery. The country's Jeera exports are expected to reach 45,000 tonnes this year due to lower prices along with waning supplies in other exporting nations. Cumin exports during April - July 2012 is estimated to be 23,500 tonnes [Rs 304 crore] against 10,500 tonnes in the corresponding period of April- July 2011. In Unjha, a key spot market in Gujarat, jeera gained 127.5 rupees to end at 14702.5 rupees per 100 kg. The contract made intraday low of Rs 14200 a kg and high of Rs 14547.5 a kg. Support for jeera is at 14274 below that could see a test of 14063. Resistance is now seen at 14622 above that could see a resistance of 14758.

Trading Ideas:

Jeera trading range for the day is 14064-14758.

Jeera gained on improved demand from overseas buyers, local buying in the festive season and limited supplies

Demand is strong from both local and overseas buyers and is expected to stay firm in the short term.

NCDEX accredited warehouses jeera stocks gained by 45 tonnes to 9163 tonnes.

In Unjha, a key spot market in Gujarat, jeera gained 127.5 rupees to end at 14702.5 rupees per 100 kg.