India Cumin Seed Set To Rise Further On Strong Fundamentals.

India cumin seed or Jeera prices extended the gains for second week due to good local and export demand. The arrivals into the market too are low against offtake as stockiest are holding onto the cumin stocks for better realization. The arrivals of Cumin Seed in the benchmark Unjha mandi plunged to 7,000-8,000 bags from 13,000-14,000 bags previous week. The estimated export for 2009-10 stands at 49750 tons with UAE as the biggest buyer followed by Brazil and U.S.A. Jeera exports during April- May 2010 dipped 12 percent to 8,300 tonnes and value dipped 11 percent to Rs 9,061.23 lakh.

India is the largest producer and exporter in world and Iran, Syria and Turkey are its main competitors in international market. With the crop due in its competing regions, the prices in Indian market shall be moving in tandem with them.

The Unjha, the biggest market of cumin seed in India where Gujarat and Rajasthan origins are available, spot prices are Cumin Low quality - US$ 2620-2670 per ton ; Medium quality - US$ 2725-2825 ; High Quality - US$ 2925-3025 per ton.

Strong international prices of Syria, the other major producer of Jeera, in the international market, led overseas buyers to place fresh orders in India. According to the market sources, prices in Syria rose from $2,850-$2,900/tonne to $3,100-$3,600/tonne in this week. Indian origin rose from $2,900/tonne to $3,200/tonne.

India Cumin Seed benchmark August delivery on NCDEX ended the last session higher by 1.06 percent at Rs 14396 after hitting the high of Rs 14442 per 100 kg. The counter has next resistance at Rs 14450 and then at Rs 14600. The counter has support at Rs 14200 and then at Rs 14126 per 100 kg.

Source : India Infoline