The higher than estimated output coupled with the weakening domestic and overseas demand for the new cumin seed (jeera) crop have seen the commodity decline substantially in the spot as well as the futures market. | |
| Jeera slumped 10 per cent in one week as traders kept away from the domestic market because of the cold weather conditions. But the mandis in Unjha witnessed need-based trading. |
| |
| In the Unjha spot market, jeera is quoted at Rs 105 a kg, while the premium variety is sold for between Rs 95 and Rs 102 in Nizamabad. At the National Commodity & Derivatives Commodity Exchange (NCDEX), however, the commodity is trading at Rs 9,000, Rs 9,282, Rs 9,463 and Rs 9,761 a quintal for February, March, April and May delivery, respectively. |
| |
| "In the mandis in Unjha, buyers are totally absent these days. However, arrivals continue unabated," said Pravin Patel, a trader based in Unjha. |
| |
| Since the harvest season has only begun, arrivals are currently at a very low level. But, it would touch 10,000 bags in 15-20 days, Patel added. |
| |
| Experts had earlier expected a crop damage of nearly 40-50 per cent because of heavy rainfall in some areas and unfavourable climatic conditions. But, early harvesting indicate that the damage could be in the region of 15-20 per cent, which is common for the jeera crop. |
| |
| Surprisingly, this year's crop is bigger, healthier and heavier than the one last year. Therefore, the sector has estimated the total output at 30 lakh bags of 60 kg each as against the earlier estimate of 17-18 lakh bags. |
| |
| The higher output has been largely be attributed to good moisture during the flowering season of the crop. |
| |
| According to traders, the commodity has a total carry over stock of 5-7 lakh bags, which will be insufficient to meet the demand after the current cold weather gets over. |
| |
|
| |
