Turmeric futures increased by 0.35% to close at Rs 15,988, bolstered initially by limited spot availability in major mandis located in Maharashtra and Telangana. During the peak season, arrivals have been lower than usual, and quality has deteriorated due to moisture-related rhizome rot, which has limited the supply of premium “Double Polished” varieties. The sentiment remains robust, particularly as high-grade “Salem Fali” turmeric consistently attracts significant premiums close to Rs 20,000 per quintal in key trading centers.
Nonetheless, the potential for growth appears limited as recent increases in arrivals have been observed in major mandis like Nizamabad, Erode, and Hingoli, resulting in a temporary oversupply situation. Farmers are currently liquidating stocks to address liquidity requirements in anticipation of Kharif sowing. This has resulted in heightened market arrivals and downward pressure on prices, especially for average-quality produce. Moreover, the recent profit-taking by stockists who built their positions at lower levels in March has contributed to the selling pressure observed in the near term.
On the demand side, export trends exhibit a varied landscape. Cumulative turmeric exports from April to February 2026 experienced a slight increase of 1% compared to the previous year, whereas imports saw a significant decrease of 40%, leading to a tighter overall supply situation. Key drivers consist of consistent demand for IPM-certified turmeric from the EU and renewed purchasing interest from Bangladesh, especially for finger varieties. Meanwhile, lowered production estimates at 1.14 million tonnes and worries regarding an underwhelming monsoon are fostering a longer-term bullish sentiment.
The market is currently experiencing short covering, as evidenced by a 2.75% decrease in open interest to 15,395 lots, accompanied by a price increase of Rs 56. Immediate support is identified at Rs 15,784, with a breach possibly leading to a test of Rs 15,578. On the upside, resistance is positioned at Rs 16,122, and a sustained move above this level may drive prices toward Rs 16,254.