Technically Turmeric market is under fresh buying as market has witnessed gain in open interest by 0.43% to settled at 7045 while prices up 70 rupees.
Now NCDEX Turmeric is getting support at 6992 and below same could see a test of 6916 level, And resistance is now likely to be seen at 7122, a move above could see prices testing 7176.
Turmeric on NCDEX settled up by 1% at 7070 driven by rising demand in the spot market. Besides, limited arrivals from major producing regions also fuelled the uptrend. As of now turmeric crop is good condition in all the major producing centres and new crop may start pouring in markets by January end.
Turmeric crop is mostly in its vegetative to development stage across major growing states and as per preliminary estimates output in the season is expected to decline slightly due to lower sowing area.
Output in the season is expected to decline due to lower sowing area and on reports of diseases to plants following heavy rainfall in September and October in Nizamabad district. The arrivals have been lower during October at 7,222 ton compared to 10,037 ton last year same period according to data.
India exported 31,800 ton during first quarter of this fiscal versus 30,812 ton in the corresponding period last year. In Tamil Nadu, turmeric growing regions still no rainfall reported only coastal regions received higher rainfall currently.
Turmeric farmers were waiting for rainfall as standing crop requires 2-3 times rainfall for better yield otherwise yield might get affected.
As per farmer sowing intentions estimated, current year Turmeric area was reported lower in Tamil Nadu by around 40-45% due to lower rainfall in sowing period. In Nizamabad, a major spot market in AP, the price ended at 7365.4 Rupees gained 24.75 Rupees.
--Turmeric trading range for the day is 6916-7176.
--Turmeric prices ended with gains driven by rising demand in the spot market.
--As of now turmeric crop is good condition in all the major producing centres and new crop may start pouring in markets by January end.
--NCDEX accredited warehouses turmeric stocks dropped by 30 tonnes to 990 tonnes.
--In Nizamabad, a major spot market in AP, the price ended at 7365.4 Rupees gained 24.75 Rupees.
Courtesy: Kedia Commodities