Mentha oil falls 0.4% on profit-booking

Adequate stocks, weak demand influence prices

Mentha oil prices fell by Rs 5.40 to Rs 1,341 per kg in futures trading today after speculators booked profits at prevailing levels amid a weak demand in the spot market.

Adequate stocks in the physical market following increased arrivals from Chandousi in Uttar Pradesh fuelled the downtrend in mentha oil prices.

At the Multi Commodity Exchange, mentha oil for delivery in September fell by Rs 5.40, or 0.40%, to Rs 1,341 per kg, with a business turnover of Rs 115 lots.

The August contract declined by Rs 5, or 0.37%, to Rs 1,321.10 per kg in 318 lots.

Marketmen said the fall in mentha oil futures was due to profit-booking by speculators after recent gains and a weak demand from consuming industries in the spot market.