Turmeric yesterday settled lower by 1.62% at Rs 11,780, influenced by increased acreage and favorable rainfall during the sowing season, which negatively impacted market sentiment. Nonetheless, losses were contained as significant rainfall in crucial agricultural areas, especially Nanded, adversely affected nearly 15% of the existing crop, leading to concerns regarding quality. The IMD’s projection of normal to below-normal rainfall in certain regions of South India has intensified concerns among agricultural producers.

Despite an increase in acreage—projected to grow by 15–20% year-on-year to 3.30 lakh hectares in 2024–25 from 3 lakh hectares in the previous season—market arrivals continue to be muted, and stocks held by farmers in Warangal are nearly depleted. At the Duggirala market, fresh turmeric maintains robust buyer interest, as the new crop commands premiums over older stocks owing to its superior quality. Daily arrivals fluctuate between 1,000 and 1,200 bags, with 50–55% of the new crop already transacted, indicating consistent market engagement despite the conclusion of the season.

Government procurement initiatives, exemplified by Himachal Pradesh’s program promoting natural farming, are anticipated to provide additional support. During the period from April to July 2025, exports experienced a year-on-year increase of 2.29%, totaling 63,020 tonnes. In July, exports experienced a slight decline of 0.27% compared to the previous year, yet showed a month-on-month increase of 9.31%, suggesting a positive trend in trade momentum.

From a technical perspective, the market is experiencing long liquidation, evidenced by a significant decline in open interest of 14.54% to 9,430, indicating a trend of profit booking pressure. Prices are currently encountering support at Rs 11,610, and a decline beneath this level may lead to a test of Rs 11,440. Conversely, resistance is identified at Rs 11,960, with an upward movement likely propelling prices toward Rs 12,140.