Jeera yesterday settled up by 3.65% at 61870 as arrivals in Gujarat and Rajasthan have decreased due to heavy rainfall. Farmers need assistance to bring their produce to the market. However, after the rains subside, cumin arrivals are expected to increase, potentially impacting market dynamics. Support is also seen due to good export demand and expectations of lower stocks end of the current marketing year.
Prices rose on crop worries grow due to unseasonal rains and hailstorms in Rajasthan, the major producing state. Cumin imports in May 2023 reached 210 metric tons, showing a substantial increase of 227.73% compared to the previous month’s import volume of 64 metric tons. According to FISS forecasts, cumin demand is predicted to exceed 85 lakh bags this year, with a likely supply of 65 lakh bags. Jeera exports during Apr-May 2023, rose by 67.90 per cent at 42,988.50 tonnes as compared to 25,603.35 tonnes exported during Apr-May 2022. In May 2023 around 25,903.63 tonnes of jeera was exported as against 17,084.87 tonnes in April 2023 showing a rise of 51.52%. In May 2023 around 25,903.63 tonnes of jeera was exported as against 14,894.62 tonnes in May 2022 showing a rise of 73.91%. In Unjha, a key spot market in Gujarat, jeera edged up by 1313.65 Rupees to end at 61400.6 Rupees per 100 kg.
Technically market is under short covering as the market has witnessed a drop in open interest by -8.03% to settle at while prices are up 2180 rupees, now Jeera is getting support at 59980 and below the same could see a test of 58090 levels, and resistance is now likely to be seen at 63480, a move above could see prices testing 65090.