India spices steady on firm domestic demand, weak exports

MUMBAI, July 29 Wed Jul 29, 2009 10:32am IST

MUMBAI, July 29 (Reuters) - Indian jeera futures opened steady on Wednesday on support from a firm spot but weak exports kept a lid on gains, analysts said.

At 10.22 a.m., benchmark August jeera NJEQ9 was down 0.23 percent at 11,655 rupees per 100 kg.

Demand in the spot market is firm due to the upcoming festival season, analysts said.

However, a good overseas crop, which continue to hurt Indian exports, trimmed gains, they added.

PEPPER:

India pepper futures opened steady as support from hopes of easing in selling pressure from Vietnam and strong domestic demand was offset by little revival in exports, analysts said.

At 10.25 a.m., benchmark August pepper NPEQ9 was up 0.07 percent at 12,740 rupees per 100 kg.

Sentiment is firm as Vietnamese stocks are depleting, which would ease selling pressure from the country in the coming weeks, benefitting Indian exports, analysts said.

The upcoming festival demand will keep demand in the spot market firm, they added.

However, Indian export rates are still at a premium to competing global countries and that weighed on prices, analysts said.

TURMERIC:

India turmeric futures were steady as profit-taking was offsetting lower supplies in the second half of 2009 amid robust domestic and export demand, analysts said.

At the end of June, trade estimates put stocks in the country at 1.35 million bags, while demand for June to February period is pegged at 2.2 million bags.

Turmeric prices are likely to jump by a quarter in second half of 2009 on thin stocks, festive demand, booming exports and poor rains washing out chances of a rich harvest, traders said. See [ID:nBOM474886]

At 10:26 a.m., the most traded August contract NTMQ9 was down 0.32 percent at 5,910 rupees per 100 kg, after rising over 14 percent in July.

(Reporting by Nandita Bose and Rajendra Jadhav; Editing by Sunil Nair)

Economic Pulse

REUTERS SHOWCASE

Gold Imports

Gold Imports

India eases gold import rule in surprise move.  Article 

Indians in Iraq

Indians in Iraq

India says no contact with 39 men held by Islamic State in Iraq.  Full Article 

Sahara Issue

Sahara Issue

Sahara looks to raise $650 million loan to fund bail.  Full Article 

Bhopal Tragedy

Bhopal Tragedy

Bhopal's toxic legacy lives on, 30 years after industrial disaster.  Full Article 

Banking Sector

Banking Sector

After record deal, more India bank takeovers on cards  Full Article 

Islamic Fund

Islamic Fund

India gets new Islamic equity fund but debt market still off-limits  Full Article 

Cricket Tragedy

Cricket Tragedy

Clarke breaks down giving heartfelt Hughes tribute  Full Article 

Nigeria Violence

Nigeria Violence

Bombs, gunfire kill 81 at crowded mosque in Nigeria's Kano  Full Article 

Movie Review

Movie Review

D’Silva's “Ungli” just skims the surface  Full Article | Related Story 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device  Full Coverage