Turmeric prices increased by 0.27% to close at Rs 17,940, bolstered by short covering following recent drops attributed to heightened farmer selling during the peak harvest period. Increased arrivals at key mandis have consistently outpaced current demand, with substantial stockpiles in Warangal and ongoing sales from farmers contributing to a prevailing sense of caution in the market. Reports of rhizome rot and quality deterioration in certain arrivals have also exerted pressure on sellers.

Despite short-term challenges, the underlying fundamentals continue to be favourable, with carry-forward stocks projected at 15 lakh bags, significantly lower than the previous season’s figures. The southwest monsoon has enhanced sowing prospects throughout southern India, while export levels have remained largely stable. India’s turmeric exports rose by 0.6% year-on-year in April, reaching 15,039 tonnes, bolstered by heightened shipments to China, Bangladesh, and various other emerging markets.

Turmeric is currently experiencing new buying activity, as evidenced by a 0.07% increase in open interest in conjunction with rising prices. Immediate support is identified at Rs 17,804, with subsequent support at Rs 17,666, while resistance is established at Rs 18,076. A sustained move above this level could extend gains toward Rs 18,210.