MUMBAI, Dec 7 (Reuters) - Pepper futures ended slightly lower on Friday, but analysts said the fundamentals remained strong, suggesting buying pressure in coming sessions.

"I see good buying support at lower levels... if the prices test 12,500 rupees per 100 kg, there would be buying," said Faiyaz Hudani, an analyst at Kotak Commodity Services Ltd.

The January pepper on the National Commodity and Derivatives Exchange touched a low of 12,950 rupees before it bounced back.

Though demand is not very high, lower stocks overseas and in India, coupled with late arrivals of new season crop, could help push up prices, analysts said.

"The physical market is absolutely dry," said Alex Mathews, head of research at Geojit Financial Services Ltd.

January pepper is likely to target 13,256 rupees in the next session, he said, however, profit taking may follow.

Open interest for January pepper on the NCDEX rose to 10,768 tonnes from 10,501 tonnes the previous session.

Following are the closing prices of pepper futures in rupees per 100 kg on the National Commodity and Derivatives Exchange Ltd. <0#NPE:>:

Contract Reuters code Closing price Change in %

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Dec <NPEZ7> 12,867 -0.25

Jan <NPEF8> 13,115 -0.05

(Reporting by Ruchira Singh, editing by Harish Nambiar)

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