Jeera on NCDEX settled down -1.77% at 16695 as sowing is likely to be higher due to favourable weather conditions in the producing centres of Gujarat. However, tight stocks and likely emergence of export buying limited the downside. Traders are expecting jeera export during the current fiscal around 120,000 ton up from 98,700 ton last year. Farmers are likely to plant jeera on higher area due to favourable weather and prevailing high prices in the open market. Acreage is likely to up in Rajasthan as farmers may shift from coriander due to weak 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. 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. However, it is much lower than 2013-14 output when the state produced 346,000 ton jeera. 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. ZTECHNICALLY market is under fresh selling as market has witnessed gain in open interest by 11.86% to settled at 11856 while prices down -300 rupee, now Jeera is getting support at 16503 and below same could see a test of 16312 level, And resistance is now likely to be seen at 16968, a move above could see prices testing 17242.

Trading Ideas:

Jeera trading range for the day is 16310-17240.

Jeera prices dropped as sowing is likely to be higher due to favourable weather conditions in the producing centres of Gujarat.

However, tight stocks and likely emergence of export buying limited the downside.

NCDEX accredited warehouses jeera stocks dropped by 123 tonnes to 3334 tonnes.

In Unjha, a key spot market in Gujarat, jeera edged down by -150 rupees to end at 17458.35 rupee per 100 kg.