Technically Jeera market is under long liquidation as market has witnessed drop in open interest by 3.36% to settled at 4839 while prices down 5 rupees.

Now NCDEX Jeera is getting support at 14290 and below same could see a test of 14150 levels, and resistance is now likely to be seen at 14530, a move above could see prices testing 14630.

Jeera yesterday settled down by 0.03% at 14435 on profit booking after prices gained due to the forecast of drought in Gujarat-Rajasthan by Skymet. With Gujarat and Rajasthan being the only producers of cumin in the country, the most impact of Skymet’s forecast is visible on the cumin market.

The export of cumin is increasing continuously and in the coming days there are signs of increasing the export of cumin in a big way. However, the freight of container-vessels has increased and the shortage of containers is increasing continuously.

Despite this, exporters are now exporting by bargaining at FOB price and in some cases the freight of both side containers is being settled.

The export of cumin seeds from Turkey and Syria was visible in the international market in July-August every year, due to which the export of Indian cumin decreased after July-August, but due to the very bad condition of cumin crop exports cannot be dome from these two countries in the current year.

On the contrary, importers from Syria and Turkey are currently buying cumin seeds from India. There is a lack of rainfall in the cumin growing centers of Rajasthan and Gujarat and due to higher prices of other commodities than cumin in Rabi season, there is a perception that the sowing of cumin is low.

In Unjha, a key spot market in Gujarat, jeera edged down by 167.5 Rupees to end at 14573.7 Rupees per 100 kg.

Trading Ideas:
–Jeera trading range for the day is 14150-14630.
–Jeera dropped on profit booking after prices gained due to the forecast of drought like conditions in Gujarat-Rajasthan.
–India’s cumin exports will increase due to less supply from Afghanistan-Syrian
–Export of cumin is expected to reach a record level of 2.50 to 2.75 lakh tonnes in the current year
–In Unjha, a key spot market in Gujarat, jeera edged down by 167.5 Rupees to end at 14573.7 Rupees per 100 kg.