Red chillies market in Guntur remains bearish. It was offered at a lower price range amidst higher arrivals in the markets. Market sentiments have turned in favour of the bears as fresh crop arrivals started getting momentum at present. Arrivals are likely to pick up further in the coming month and consequently adding to the bearishness. Talks of lower Chinese crop and prospective export demand have to some extent helped to check the downtrend. Chilli export from the country has increased to Rs. 440 crore during April-December 2006. Acreage under chilli this year is estimated to have doubled. With a bumper harvest outlook, prices are likely to remain bearish in near future.

Black pepper markets firmed up again. It was offered higher by Rs. 200 per quintal amidst no arrivals as well as offtake. Traders reported improvement in domestic demand. Overseas enquiries are also reported after a while and traders are optimistic of prospective export demand given the lower price of Indian pepper. India exported pepper worth Rs. 203 crore during April-December 2006. With global pepper production estimated to decline by 15-20 per cent and 3.46 per cent growth in global consumption, prices are likely to head skywards in the global market in near future. Domestic scenario could well match global trend given the estimated decline in the production this year.

Jeera markets remained firm. It was quoted higher amidst lower arrivals. Some fresh crop arrivals are reported in small quantity and are of inferior quality. Domestic 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. Moreover, the present cold weather conditions are also seen beneficial for the crop growth. Jeera prices are expected to remain bullish in the near future supported by its strong fundamentals.

Turmeric markets remained steady to weak. It was offered in a lower price range in Erode markets amidst higher arrivals. 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. Traders reported improved demand scenario against the price rise. Fresh crop arrivals are expected to get momentum during the later half of the month that would further pressurise the prices.