Red chillies market in Guntur remained closed. Fresh crop arrivals are expected to gain momentum during the later half of the month and consequently adding to the bearishness. Talks of prospective export demand have supported the market sentiments. Chilli export from the country has increased by 44 percent to Rs. 440 crore during April-Dec 2006 owing to higher prices prevailing at that time. However, in quantity terms it has declined by 3 percent. With a bumper harvest outlook, prices are likely to remain moderately bearish in near future.  

Black pepper markets remained steady at the weekend. It was quoted unchanged in Kochi amidst no arrivals as well as offtake. According to a recent notification by the Spices Board of India regarding the WTO Compatible subsidy on export of pepper/pepper products, it has already received applications for subsidy on pepper exports for a quantity of 20000 MT which is the upper limit upto which pepper exporters are eligible for the freight subsidy. Therefore, no more applications in this regard from the exporters will be accepted. Notably, India has already exported pepper worth Rs. 203 crore during April-December 2006 achieving the target of set quantity as well.  

Jeera markets maintained its earlier position during Saturday’s trade. It was quoted on an average steady in Unjha amidst slightly lower arrivals. Fresh crop arrivals are increasing in the market and consequently pressurising the market sentiments. Fresh crop arrivals are likely to pick up further during the next couple of weeks that would eventually help to determine the actual size of the crop, estimations of which varies widely at present. Meanwhile, jeera exports have increased by 199 percent to 22000 tonnes and by 194 percent to Rs. 166 crore during Apr-December 2006. Domestic jeera prices are likely to recover back from its recent decline.  

NCDEX-Jan

Turmeric markets remained steady. It was quoted unchanged in Nizamabad amidst slightly lower arrivals. Erode markets remained closed. Fresh crop arrivals are coming in the markets with mixed quality, wherein the inferior ones with higher moisture contents are fetching lower prices. Fresh crop arrivals are expected to get momentum in the coming couple of weeks that would further pressurise the prices. Turmeric markets are likely to remain moderately bearish on a better crop harvest outlook for the season.