Red chillies market in Guntur remained closed on Tuesday. Fresh crop arrivals started getting momentum in the past few days. Arrivals are likely to pick up further in the coming month. Talks of prospective export demand have to some extent helped to check the downtrend. Chilli export from the country has increased by 44 percent to Rs. 440 crore during April-Dec 2006. However, in quantity terms it has declined by 3 percent. Acreage under chilli this year is estimated to have doubled. With a bumper harvest outlook, prices are likely to remain moderately bearish in near future.

Black pepper markets witnessed a soft trend. It was quoted lower by Rs. 100 per quintal amidst no arrivals as well as offtake. Spot markets have witnessed a sharp rally in the recent past owing to improved demand scenario. Overseas enquiries are also reported after a while and traders are optimistic of prospective export demand. India has exported pepper worth Rs. 203 crore during April-December 2006. With global pepper production estimated to decline by 15-20 per cent (IPC estimates) and 3.46 per cent growth in global consumption, prices are likely to head skywards in global market in near future. Domestic scenario could well match global trend given the estimated decline in the production this year.

Jeera markets maintain its previous position. It was quoted steady amidst slightly lower arrivals. Fresh crop arrivals are increasing in the market, though the quantity of the same is still negligible. Production of jeera is expected at the lower side owing to reduced acreage under the crop this year. Fresh crop arrivals are likely to pick up during the mid of next month onwards 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-Dec 2006. Jeera prices are expected to remain bullish in the near future supported by its strong fundamentals.

Turmeric markets remained on an average closed. Prices had maintained a stable trend during the recent time. Arrivals have started from the fresh harvest, though the quality of the same is reported to be inferior one with higher moisture contents and quantity is also not enough to make any significant impact on prices. Fresh crop arrivals are expected to get momentum in the coming days that would further pressurise the prices. Turmeric is likely to remain bearish on a better crop harvest outlook for the season.