Mentha oil futures drop 1.03 pc on subdued demand

Mentha oil futures fell 1.03 per cent to Rs 1,190 per kg today as speculators trimmed their positions amid subdued demand from consuming industries at the spot markets.

Besides, adequate stocks position on higher supplies from major producing belt of Chandausi in Uttar Pradesh fuelled the downtrend.

At the Multi Commodity Exchange, mentha oil for delivery in July month declined by Rs 12.40, or 1.03 per cent, to Rs 1,190 per kg, in a business turnover of 213 lots.

Likewise, the oil for delivery in the current month traded lower by Rs 7.90, or 0.67 per cent, at Rs 1,178.30 per kg, in 16 lots.

Analysts said offloading of positions by participants owing to slackened demand from consuming industries at the spot market against sufficient stocks position on increased supplies from Chandausi in Uttar Pradesh led to the decline in mentha oil prices in futures trade.