India pepper up on tight supply, Vietnam price hike

MUMBAI, Aug 13 (Reuters) - Indian pepper futures ended higher on tight supply situation in the physical market and talk of a price rise in Vietnam, analysts said.

"Buyers are not getting enough pepper in the market as very little stocks are left now," said Veeresh Hiremath, an analyst with Karvy Comtrade Ltd.

India's production was steady last year, but due to a global shortage the country exported most of its stocks, he said, adding the situation would continue till the arrival of new crop in December.

In India, pepper arrivals start in December and continue through February.

The talk of a price hike in Vietnam due to a production shortfall also boosted the sentiment, said an analyst with a Mumbai-based brokerage.

Vietnam, the world's largest pepper producer, has completed harvesting up to 87,000 tonnes of the spice, down from 90,300 tonnes last year, according to the Vietnam Pepper Association.

Open interest for September contract rose to 9,193 tonnes from 9,121 tonnes the previous session.

Spot pepper was trading steady at 14,300 rupees per 100 kg in spices hub of Kochi in Kerala.

Following are the closing prices of pepper futures in rupees per 100 kg on the National Commodity and Derivatives Exchange Ltd. <0#NPE:>: