Pepper gains 0.5% on tight supply

Slow progress of monsoon rains in growing areas also supported upswing in pepper futures

Pepper prices rose 0.52% to Rs 41,250 per quintal in futures trading today on tight supplies from producing regions and rising demand in the spot market.

Slow progress of monsoon rains in growing areas which might hurt the growth of the crop also supported upswing in pepper futures.

At the National Commodity and Derivatives Exchange, pepper for delivery July rose by Rs 215, or 0.52%, to Rs 41,250 per quintal, with an open interest of 1,664 lots.

In a similar fashion, the spice for delivery in August moved up by Rs 120, or 0.29%, to Rs 41,700 per quintal, with an open interest of 3,240 lots.

Analysts said besides rising demand in the spot market, less arrivals from producing regions mainly kept pepper futures remain higher.