Mentha oil recovers on spot demand

Novemnber and December contracts gain 0.6% each on lower supplies from producing belts

Mentha oil prices recovered by Rs 7.40 to Rs 1,209 per kg in futures trade today as speculators created fresh positions amid a rise in domestic as well as export demand against restricted arrivals from producing region.

Besides, reports of lower production this season due to late rains further fuelled the uptrend.

At the Multi Commodity Exchange, mentha oil for delivery in November recovered by Rs 7.40, or 0.62 per cent, to Rs 1,209 per kg, with a business turnover of 140 lots.

The December contract traded higher by Rs 7.20, or 0.61 per cent, to Rs 1,195.50 per kg, with an open interest of 466 lots.

 

Marketmen said fresh buying by speculators on the back of a rise in domestic as well as export demand amid lower arrivals from producing regions mainly led to a rise in mentha oil futures.