Mentha oil down 2.20% on higher supply, low demand

Traders pare positions on lower offtake from consuming industries

Mentha oil prices fell 2.20 per cent to Rs 766 per kg in futures trade today as speculators reduced positions on lower demand from consuming industries in the spot market.

Besides, higher supplies from producing regions also put pressure on mentha oil prices.

At the Multi Commodity Exchange, mentha oil for delivery in June lost Rs 17.20, or 2.20 per cent, to Rs 766 per kg in a business turnover of 989 lots.

The July contract shed Rs 17, or 2.13 per cent, to Rs 779.80 per kg in 520 lots.

Market analysts attributed the fall in mentha oil futures to offloading of positions by speculators amid lower demand from consuming industries in the spot market that pulled down mentha oil prices at futures trade.