Mentha oil on MCX settled up by 1.88% at 932.3 taking cues from less arrivals in the major physical markets. As per local sources, during last three weeks around 20 percent arrivals have decreased in the spot markets which will support the mentha prices. At Chandausi market, Mentha Oil is trading strong at Rs. 1035 per Kg, up by 10.11 per cent from previous day’s price level. Traders reported arrivals at 20 Drums(1-drum-180kg), steady as against previous day’s arrival. Mentha DMO is offered firm at Rs. 750 per Kg, higher by 10.29 per cent as against previous day. Mentha Flakes at Chandausi market is quoted firm at Rs. 1120 per Kg, higher by 10.89 per cent from previous day’s price level. According to sources, fears of lower output and rising demand hoarders have started hoarding mentha oil. Exports of mint products stood at 21,150 tonne in FY16 valued at RS. 2,577.59 crore against 25,750 tonne valued at RS. 2,689.25 crore in FY15. Mentha oil prices have fallen almost more than 11% since last 1month from 992.80 level to test 880 level this week due to the fund crisis in the market and lower Chinese demand for Indian Mentha oil. Initially, India’s mentha oil output was estimated to remain lower this year from 32,000 tonnes produced during last year. But, rainfalls later improved overall scenario that got worsened with scorching heat waves in May. Hence, overall mentha oil output for 2016-17 is now revised upwards at 32,000 tonnes. Mentha oil spot at Sambhal closed at 1062.00 per 1kg. Spot prices is up by Rs.12.00/-.Technically now Menthaoil is getting support at 917.6 and below same could see a test of 902.9 level, And resistance is now likely to be seen at 940.5, a move above could see prices testing 948.7.

Trading Ideas:

Menthaoil trading range for the day is 902.9-948.7.

Mentha oil spot at Sambhal closed at 1062.00 per 1kg. Spot prices is up by Rs.12.00/-.

Menthaoil settled up taking cues from less arrivals in the major physical markets.

According to sources, fears of lower output and rising demand hoarders have started hoarding mentha oil

During last three weeks around 20 percent arrivals have decreased in the spot markets which will support the mentha prices.