MUMBAI (Commodity Online): Sideways trend was noted for Mentha Oil but traders expect support for the rates at these levels could be there. Reports indicate demand has started picking up in the mandis at these low rates.
Traders feel that rates have fallen significantly over last few weeks and the rates seem to find support at these levels. Good stocks in warehouses along with expectations of higher production however can pressurize prices. There are prospects of increased demand from the winter season ahead.
Falling Dollar had been keeping the export demand at bay. Reports do indicate however those farmers are unwilling to sell at these low rates. As a result, arrivals have dropped in the mandis.
Trading platform that even a 5 year old can trade. Join now Some domestic demand from the pharmaceutical industries have been reported and expected to rise ahead of the winter season.
Improved production prospects this year has also been pressurizing prices.
Lower demand from US, China and Europe reported. As per Spice Board of India, exports during Apr-Aug this year are down to 2725 tonnes vs 3475 tonnes same period last year.
Courtesy: Religare Commodities
