Jeera prices increased by 0.81% to close at 39350, propelled by buyers’ desire to purchase after a recent decrease in value. The upside, however, is expected to be constrained because of sufficient soil moisture and excellent weather for crop growth. When compared to the same period in 2022, Gujarat’s jeera seeding has grown significantly, rising by about 161% to 376,020.00 hectares.
Although the robust sowing is encouraging, consumers’ preference for other sources, such as Syria and Turkey, has resulted in a drop in the market for Indian jeera globally, despite India’s higher costs. Indian exports of jeera fell by 29.79% to 76,969.88 tons between April and September 2023 compared to the same period in 2022, despite competitive pricing in the international market.
September 2023 saw a notable decline in jeera exports of 60.27% when compared to September 2022, with a month-over-month fall of 11.02%. The current price competitiveness of Indian jeera, which is detrimental to exporters, is the reason for the muted export demand. The dynamics of the market are further unknown due to the potential for China to purchase Indian cumin in October or November.
A 4.39% decline in open interest to settle at 2547 indicates that, from a technical perspective, the market is experiencing short-covering. Jeera’s price has risen by 315 rupees, but it is currently finding support at 38470, with a test of 37570 possible below it. If the price moves over resistance, it may try 40870. On the upside, resistance is probably located around 40120.
