Turmeric settled up 0.43% at 6506 as a delay in sowing due to late monsoon rains have raised concerns about lower production. The late monsoon has pushed back turmeric sowing in the top cultivating areas, raising concerns about yields. Prices looks to remain supportive as delayed monsoon rainfall and poor price realization might keep turmeric acreage lower in the current year. The sowing of new crop is still a major concern in states like Andhra Pradesh, Telangana and Tamilandu due to delayed monsoon rainfall and poor price realization by cultivators. Similar trend is also observing in Maharashtra as not much sowing has been reported in Sangli. The total ending stocks of turmeric for 2014-15 are projected to reach record lows of 11 lakh bags due to weak domestic production and steady demand in local mandies. The receding stocks of turmeric in local mandies will encourage fresh buying from lower levels. The price of hybrid finger turmeric fell sharply. The buyers quoted decreased price because of poor quality. Yesterday all the 390 bags of hybrid turmeric that arrived were sold. The total arrival fell from 3,200 to 2,002. The traders quoted lower prices for the local varieties. The hybrid finger variety turmeric price was fell by Rs. 350 a quintal and the root variety by Rs. 150. In Nizamabad, a major spot market in AP, the price ended at 6295 rupees dropped -35.95 rupees. Technically market is under short covering as market has witnessed drop in open interest by -3.67% to settled at 14420 while prices up 28 rupee, now Turmeric is getting support at 6456 and below same could see a test of 6407 level, And resistance is now likely to be seen at 6548, a move above could see prices testing 6591.

Trading Ideas:

Turmeric trading range for the day is 6407-6591.

Turmeric prices ended with gains as a delay in sowing due to late monsoon rains have raised concerns about lower production.

The late monsoon has pushed back turmeric sowing in the top cultivating areas, raising concerns about yields.

NCDEX accredited warehouses turmeric stocks gained by 21 tonnes to 1270 tonnes.

In Nizamabad, a major spot market in AP, the price ended at 6295 rupees dropped -35.95 rupees.