Cardamom surges on strong demand

Restricted stocks in the spot market fuelled a price hike

Cardamom futures prices surged by Rs 50.70, or 4%, to Rs 1,318.60 per kg in futures trade today as speculators raised their positions, tracking a firming trend at spot market on strong demand.

Tight stocks availability in the physical market following less arrivals from southern producing region also supported the uptrend in cardamom.

At the MCX, cardamom for delivery in May surged by Rs 50.70, or 4%, to Rs 1,318.60 per kg in business turnover of 3,627 lots.

The June contract shot up by Rs 26, or 2.04%, to Rs 1,303 per kg in 1,967 lots.

Traders said, besides strong demand in the spot market, restricted arrivals from southern producing regions attributed the sharp rise in cardamom prices to hit upper circuit in the futures market.