The prices of jeera had a significant decrease of -5.96%, ultimately reaching 35865. This fall was mainly ascribed to increased production opportunities in Gujarat and Rajasthan. In the short run, it is anticipated that the vigorous Jeera seeding operations in Gujarat and the slow exports will put downward pressure on pricing. Gujarat saw a notable increase in cumin sowing, rising by about 103% to 530,030 hectares from 261,635 hectares during the same period in 2022.
Cumin seeding increased by 13% in Rajasthan as well, to 6.32 lakh hectares. The strong sowing progress has increased production forecasts, which has added to the market’s pessimistic outlook for Jeera. Furthermore, because Turkish and Syrian jeera is less expensive than Indian jeera, consumers are choosing other origins instead of Indian jeera, which has resulted in a fall in demand for jeera worldwide.
In the coming months, export activity is probably going to stay muted due to the dynamics of global demand as well as the production outlook. Compared to 1,15,748.90 tons shipped during the same period in 2022, jeera shipments fell by 34.02% between April and October of 2023, reaching 76,367.90 tons. Exports of Jeera fell to 6,228.01 tons in October 2023, a decrease of 13.39% from September 2023.
With a -6.41% decline in open interest and a settlement price of 2892, the market appears to be in a lengthy liquidation from a technical standpoint. A breach below 35270 would trigger a test of 34660 for Jeera, which is presently finding support there. If prices go over 37070, they may challenge 38260, since that is expected to be the upside resistance.
