Support seen at 17640 for NCDEX Jeera

Technically NCDEX Jeera is under fresh selling as market has witnessed gain in open interest by 1.88% to settled at 5841 while prices down -50 rupees.

Now Jeera is getting support at 17640 and below same could see a test of 17550 level, And resistance is now likely to be seen at 17860, a move above could see prices testing 17990.

Jeera on NCDEX settled down -0.28% at 17730 following emergence of profit booking at higher prices and expectations of bumper crop. 

Prices also seen under pressure as India may produce record jeera this year on the back of higher acreage and favourable weather. 

Jeera sowing in Gujarat spurted to 348,100 hectare until December 18 from 256,000 hectares a year ago and traders are hoping further increase in area as ruling prices are attractive and weather in favourable. 

India's 2016-17 cumin output fell to 489,000 ton from 503,000 ton a year ago and as a result stocks with traders and farmers are stated to lower. 

Apprehensions of drop in supplies in the days may support prices to trade higher. India jeera is stated to cheaper as compared to that of Syria and Turkey in global markets and is in good demand.

At present stock with traders and farmers is insufficient to meet the demand till February next year when new jeera crop will hit the markets. 

As per Gujarat Govt. normal Jeera sowing area around 280,300 hectares. Current year area sowing around 130,100 hectares as compared to last year 99,100 hectares. Major zone wise area reported 4900 hectares in Kutch, North Gujarat 64,000 hectares, Middle Gujarat 11,800 hectares, Saurashtra 49400 hectares.