Cumin prices soar

COMMODITY SPIKES

An estimated 20 per cent decline in output this year fuelled cumin seed price on the NCDEX.

On Saturday, the commodity shot up Rs 10,000 per 10 kg, a gain of about 10 per cent from the beginning of the month.

In futures trading, cumin seed hit the upper circuit, with the price for the near-month contract closing at Rs 9,850 a quintal against the Wednesday's close of Rs 9,517 a quintal.

Meanwhile, experts believe unexpected showers may hit output in Rajasthan, which is likely to decline by 20 per cent. The reports of crop damage led to a spurt in prices all round.

The spot market has been witnessing a gain for quite some time now with prices rising by Rs 10 a kg in the last one month. Good quality jeera of the new crop is ruling at Rs 115 a kg, while the medium quality is being sold at Rs 105 a kg. The prices of carryover stocks are slightly lower at Rs 110 a kg (good quality) and Rs 95 a kg (medium quality) in Unjha.

Gujarat's cumin seed production was likely to be hit by 50 per cent to touch 30,000 tonne. Excessive cultivation of cotton, wheat and groundnut in winter had dented cumin seed output and the deficit in production was likely to create more pressure on prices this year.

Besides, rain in Rajasthan were likely to pull down cumin seed output by 5,000 tonne to 36,000 tonne.

Banaskantha and Mehsana in Gujarat and Barmer, Jalore, Jodhpur and Nagaur in Rajasthan are the cumin seed-growing centres in the country.

The country produces around 1,32,000 tonne of jeera a year. Last year, Gujarat produced 60,000 tonne, while Rajasthan's share was around 45,000 tonne.