Turmeric plunges 2% as NCDEX slaps additional margin

Profit-booking by speculators also dragged prices

Turmeric prices fell by over 2% to Rs 4,118 per quintal in futures trade today after the authorities imposed margin on long and short side of contracts amid profit-booking by speculators.

At the National Commodity and Derivatives Exchange, turmeric for delivery in July fell by Rs 86, or 2.05%, to Rs 4,118 per quintal, with an open interest of 32,070 lots.

The August contract shed Rs 76, or 1.79%, to Rs 4,164 per quintal in 29,505 lots.

Market analysts said apart from profit-booking by speculators, imposition of a 20% additional margin on buyers and sellers by the NCDEX put pressure on the turmeric futures prices.

The National Commodity Derivatives Exchange (NCDEX) imposed a 20% additional margin on the buyers and sellers to check speculative activity effective from July 6.