Technically Turmeric market is under fresh selling as market has witnessed gain in open interest by 18.01% to settled at 8910 while prices down 110 rupees.
Now NCDEX Turmeric is getting support at 8138 and below same could see a test of 8044 levels, and resistance is now likely to be seen at 8388, a move above could see prices testing 8544.
Turmeric yesterday settled down by 1.32% at 8234 as arrivals expected to come fast due to disease attacked, most of the farmers in Marathwada are harvesting turmeric fields simultaneously. Fast arrivals will result in early end of season.
Marathwada bulk arrivals are expected to come down before the end of May. Around 7 weeks only bulk arrivals can come. The arrival so far this year has been 10.15 lakh bags (one bag of 50 kg) as compared to 11.50 lakh bags in the same period last year and 14 lakh bags in 2019.
In Nanded in Maharashtra, arrivals are at least 40 per cent lower. Erode market will be closed for 10 days from April 2. The quality of arrivals is average with low production. In addition to this, stocks in the pipeline have also come down this year following the increase in turmeric exports.
According to data by the Ministry of Agriculture, turmeric production was estimated at 9.46 lakh tonnes during the 2019-20 season (July-June), compared with 9.61 lakh tonnes the previous year, despite the area under the crop rising by 4,000 hectares to 2.57 lakh hectares.
According to data by the Spices Board, turmeric exports during the April-September period of the current fiscal were 99,000 tonnes compared with 69,500 tonnes during the same period a year ago with the value of the shipments rising 35 per cent. In Nizamabad, a major spot market in AP, the price ended at 7752.8 Rupees gained 72.8 Rupees.
–Turmeric trading range for the day is 8116-8604.
–Turmeric prices gained as support seen after preliminary data showed for March 2021 showed turmeric exports gained by 5%
–Prices also seen supported on export orders to Bangladesh, besides domestic demand and projections of lower production.
–Prices have increased in view of the closure of physical markets in Andhra Pradesh, Telangana and Maharashtra for nearly two weeks.
–In Nizamabad, a major spot market in AP, the price ended at 7752.8 Rupees gained 72.8 Rupees.