Pepper prices to move southward for the next fortnight
New Delhi (PTI): The prices of pepper will continue to fall over the next 15 days on increased selling pressure and lack of buying interest by pepper exporters, traders and analysts said on Wednesday.
Also, year-end holidays in the US and European coupled with lower trading activity in the domestic spot market have kept the prices at lower levels for the past one week, they said.
"Pepper prices are expected to trade on a negative note because Indian prices are rolling at higher levels, compared to other countries like Vietnam, Indonesia and Brazil," Karvy Comtrade analyst Harish G told PTI.
Currently, the prices of pepper are ruling at Rs 13,800 per quintal against Vietnam's Rs 13,150 per quintal and Brazil's Rs 13, 200 per quintal.
"Besides higher prices, the rupee appreciation has dampened the interest of exporters' sentiments who are now looking at cheaper destinations," he said.
The prices have been affected also because of selling pressure as the new crop hit the market, traders said.
However, at 1 pm, the most active February 2008 contract on NCDEX saw a significant jump of about at Rs 130 a quintal as traders preferred to book profits.
The February contract was up by Rs 130 at Rs 13,800 per quintal but analysts said the prices would see the fall.
Traders and analysts said the pepper prices today saw a short-term development. It recovered from the day's low of Rs 13,650 per quintal. However, the trend would not continue for long and prices would stay low for atleast the next fortnight.
During October, India exported around 3,250 tonnes of pepper worth Rs 45.5 crore against 2,425 tonnes in corresponding period last year.
Agri. & Commodities
