With domestic mandis remaining closed on the occasion of Holi, availability of fresh turmeric has reduced. Thus, prices witnessed a bounce back from the lows and settled 0.79% higher on Wednesday.

Expectation that arrivals might gain momentum in the coming days is restricting prices from trading higher.

Production, Arrivals and Exports

Arrivals in Nizamabad and Erode mandi stood at 12,000 bags and 24,000 bags respectively on Tuesday. Nizamabad market will remain closed on occasion of Holi from 07th March 2012 and will reopen on Monday 12, 2012. Erode will remain closed from 08th March, 2012.

Turmeric production for the year 2011-12 is projected at historical high of 82 lakh bags (1 bag= 70 kgs) compared to 69 lakh bags in 2010- 11. Erode is expected to produce 45 lakh bags of turmeric a rise of 29% as compared to previous year.

According to Spices Board of India, exports of Turmeric during April 2011- December 2011 stood at 62,000 tonnes as compared to 37,400 tonnes in 2010-11, rise of 66%. Targets set by the Spices Board have already been met till October 2011. Exports have touched new historical levels in 2011-12.

Courtesy: Angel Commodities

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