Jeera on NCDEX settled up by 0.29% at 17195 on revival of buying support at lower levels on expectation of pickup in export demand. Reports of lower output in other major producing countries-Syria and Turkey-also providing support to prices. However expectations of rise in the acreage of jeera for the current year may dampen the market sentiment. Traders are expecting big rise in sowing due to prevailing high prices. As per fourth advance estimate of Gujarat State for 2015-16, jeera production is pegged at 238,000 ton as against 197,000 ton a year ago. However, it is much lower than 2013-14 output when the state produced 346,000 ton jeera. In 2016- 17, the output of jeera is seen falling in other major producers Syria and Turkey to 10,000 ton and 12,000 ton respectively from 15,000 ton and 17,000 ton in 2015-16. As per market source, India is likely to export 40,000-45,000 ton more jeera in coming months. As per fourth advance estimate of Gujarat State for 2015-16, jeera production is pegged at 238,000 ton as against 197,000 ton a year ago. According Department of commerce data, the exports of Jeera in the first three months (Apr-Jun) of 2016-17 is at 44,023 tonnes, higher by 71.7% compared to last year same time. In the first three months of new financial year, jeera exports has achieved about 46% of last year’s export volume due to good demand from China and Bangladesh. In Unjha, a key spot market in Gujarat, jeera edged down by -130 rupees to end at 17870 rupee per 100 kg.Technically market is under short covering as market has witnessed drop in open interest by -0.81% to settled at 13905 while prices up 50 rupee, now Jeera is getting support at 17080 and below same could see a test of 16970 level, And resistance is now likely to be seen at 17320, a move above could see prices testing 17450.

Trading Ideas:

Jeera trading range for the day is 16970-17450.

Jeera prices gained on revival of buying support at lower levels on expectation of pickup in export demand.

Reports of lower output in other major producing countries-Syria and Turkey-also providing support to prices.

NCDEX accredited warehouses jeera stocks dropped by 48 tonnes to 4130 tonnes.

In Unjha, a key spot market in Gujarat, jeera edged down by -130 rupees to end at 17870 rupee per 100 kg.