(MUMBAI (Commoditiescontrol) - Last week Nizamabad market was closed for three days. Post Shiva Rathri festival, on 07th March 2019, Nizamabad market received 43,000 bags and the price has gone up by INR 100 per quintal. On Friday another 25,000 bags arrived (per bag 60 kg). Peak arrival is expected to continue in the coming few weeks.
Nizamabad price for turmeric finger unpolished last week was traded in the region of INR 41 and 61 per kg and for bulb at INR 41-55 per kg.
Turmeric price in the Erode regulated market was traded in the region of INR 60 and 72 per kg, in the open market at INR 56-71 per kg. Last week turmeric arrivals in the erode open market were seen in the region of 10000 and 11000 bags (per bag 70 kg) and at the regulated market at around 7000 to 8000 bags.
We expect prices to go up a little in the coming week but unlikely to sustain at higher levels in the region of INR 63-65 per kg as arrivals are expected to be higher going forward. Considering ample stocks as well as the current season’s production, which is anticipated at five-year-high, the prices are unlikely to stay higher.
Technical-NCDEX April-2019-Review and outlook
Turmeric prices in the NCDEX futures April-2019 contract rebounded swiftly from the last week of INR 6114 per quintal to settle well above INR 640 per quintal on March-08, signaling room for further upward bias in the near term.
From the contract high of INR 6998 per quintal (made in Dec-2018), turmeric prices have bottomed out for the time being to INR 6614 per kg during last week of Feb-2019.
We expect technical rebound in the coming week, which was confirmed by Friday’s close. Prices are likely to move towards the higher resistances seen at INR 6450-6550-6650, before it drops further.
Turmeric prices are expected to retest INR 6100-6000 levels before the expiry of April contract.
Turmeric – Supply and Demand
|
Quantity in '000' tons
|
Particulars
|
2018
|
2019*
|
|
Opening stock
|
134
|
135
|
|
Production
|
452
|
527
|
|
Total Supply
|
586
|
662
|
|
Seed retention for sowing
|
33
|
28
|
|
Pulverising/House hold/Industrial
|
301
|
305
|
|
Export
|
117
|
123
|
|
Total Consumption
|
451
|
456
|
|
Closing Stock
|
135
|
206
|
|
*Estimated
|