MCX Mentha Oil Finishes Up On Weak Arrivals: April 12, 2012

Mentha oil futures witnessed as very volatile session on Wednesday amidst rumours of a possible ban in futures trading in some agri commodities, but rebounded towards the end settling 0.70% higher.

The spot prices were also up on the back of lower arrivals towards the end of the current marketing season and settled 2.46%higher.

Total Special Cash margin of 25% on the long side has been imposed on all contracts of mentha oil from March 9, 2012.

NCDEX Turmeric Weighs Down On Peak Arrivals

Peak arrivals from all the major mandis coupled with lackluster demand from the domestic buyers led turmeric spot prices to remain weak and settled 0.69% lower on Wednesday while futures witnessed heavy liquidation towards the end of the session on account of rumors of possible ban on some of the agri commodities.

Production, Arrivals And Exports

Arrivals in Nizamabad and Erode mandi stood at 22,000 bags and 25,000 bags respectively on Wednesday.

According to the market sources harvesting of turmeric in Nizamabad is 75% complete, Erode 60%, Sangli 60% while centres of Duggiralla, Warangal and Cuddapah which started their harvesting late have completed 25% of their harvesting.

Average daily fresh arrivals in Nizamabad currently stand around 15,000 bags while that in Duggiralla, Warangal and Cuddapah sum to 10,000 bags, Sangli 8,000 bags and the largest producing state is witnessing arrivals of 24,000 bags

Turmeric production for the year 2011-12 is projected at historical high of 82 lakh bags (1 bag= 70 kgs) compared to 69 lakh bags in 2010- 11. Erode is expected to produce 45 lakh bags of turmeric a rise of 29% as compared to previous year.

According to Spices Board of India, exports of turmeric during April 2011- December 2011 stood at 62,000 tonnes as compared to 37,400 tonnes in 2010-11, rise of 66%. Targets set by the Spices Board have already been met till October 2011. Exports have touched new historical levels in 2011-12.