MUMBAI (Commodity Online): Jeera futures moved up in the opening trade on the NCDEX counter Tuesday on the back of short covering despite weak fundamentals.

NCDEX jeera April contract gained one percent or Rs 121 to the session high of Rs 11,658 per 100 kg. The session low was Rs 11,521 and now quotes at Rs 11,614 level. The open interest added 0.63 percent to 10131 tonnes, indicating fresh buying.

Fundamentals are weak on higher production estimation, weak demand and increasing arrivals. However, stockiest buying emerged at lower levels. Better arrivals amidst lacklustre overseas demand are pressurizing the prices. Demand from the domestic stockists has also reduced.

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In the short term (till March) prices may be determined by stocks of Jeera with Syria and Turkey, price quotes of jeera in the international market and demand from the domestic and overseas market.

Jeera price quotes of Syria and Turkey are around $2450/tonne and $2500/tonne respectively. Further they have lower stocks to dispose which may provide support to the prices.

In medium to long term (April onwards) jeera price trend would be determined by the sowing progress in Syria and Turkey and demand from the overseas and domestic market.

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