Cotton Rates Down On Lack Of Purchasing Support

Coimbatore: Domestic cotton prices declined further amidst the textile and garment manufacturers experiencing tight liquidity position this week. The cotton market tendency is towards witnessing further selling pressures with sliding demands from the spinners. The spot cotton price for Gujarat and Maharashtra varieties fell by six per cent between April first week and now.Propelled by the falling dollar which upset the textile exporters apple-cart across the industry's value chain, the ginners could not off-load any more cotton stocks into the market and an estimated 30-35 lakh bales of cotton is held in stocks. With an equal quantity of raw cotton anticipated to hit the market during the coming weeks, the prices of cotton are poised to further soften down.

Pepper Likely To Gain On Tight Supply

Kochi: The current situation in the global pepper market signals that the prices of the commodity are likely to rule higher and, hence, every decline in the Indian prices could be an ideal opportunity for the investors to invest. According to a latest Vietnam Pepper Association (VPA) report, export prices of pepper in that country is destined to soar next month on global short supply and high demand. The Vietnam domestic market price had already shot up to Vietnames dong (VND) 43,000 a kg from VND 21,000 a kg at the beginning of the current season as a result of stockpiling of pepper products for export. Other origins Brazil and Indonesia do not seem to be holding any significant stock. India having a huge domestic market also does not have much to offer.
The International Pepper Community, the VPA report said, had predicted of a tight supply position in the global market from the 2007-08 crop because of 3.46 per cent increase in consumption demand and an estimated 20 per cent drop in production caused by unfavourable weather and diseases. The turnover on NCDEX increased by by 27,246 tonnes to 2,67,687 tonnes. On NMCE it dropped by 10,431 tonnes to 24,089 tonnes. The total open interest during the week on NCDEX dropped by 3,111 tonnes to 28,555 tonnes while on NMCE it moved up by 29 tonnes to 4,144 tonnes. May contract on NCDEX increased by Rs 217 a quintal to close at Rs 14,928 from Rs 14,711 on April 27. June, July and October moved up on Saturday while August and September declined by Rs 8 and Rs 124 a quintal respectively. Total open interest at NCDEX improved by 142 tonnes to 28,555 tonnes. May position declined by 424 tonnes to 9,689 tonnes while June moved up by 504 tonnes to 13,295 tonnes. On NMCE the total open interest on Saturday moved up by 51 tonnes to 4,144 tonnes. May position was at 2,129 tonnes up by 57 tonnes.

Cardamom Prices Decline On Weak Demand

Kochi: Cardamom prices declined on weak demand and improved arrivals at the auctions held during the week in Kerala and Tamil Nadu. Domestic purchasers have slowed down. Exporters are not purchasing mainly because of high prices and decline in quality of the capsules. The arrivals have increased compared to the previous week as growers and traders released the stocks they were holding due to high prices.
Arrivals at the Cardamom Processing and Marketing Company (CPMC) on Wednesday at Kumily were 55 tonnes against 46 tonnes last week. The maximum price at Kumily auction was Rs 482 a kg fetched by 8-mm bold capsules having good colour. The prices of 7.5-mm and 7-mm were Rs 380-Rs 400 and Rs 370-Rs 400 a kg respectively. Prices of the graded varieties were: AGEB Rs 460-Rs 470; AGB Rs 395-Rs 405; AGS Rs 380-Rs 390; and AGS1 Rs 345-Rs 355 a kg. The total arrivals during the current season up to April 25 were at 7,400 tonnes against 8,440 tonnes in the corresponding period the previous season. The sales stood at 6,806 tonnes (7,874 tonnes) and the weighted average price was at 309.38 a kg (Rs 216.14).

Pepper Future Witnesses Down Trend

Kochi: Pepper futures market, which has been on the falling trend in recent days, collapsed on April 27, on excessive speculation driven by some cartel operators at a time when all the other origins world over were ruling firm at higher levels. NCDEX is said to be holding a stock of about 8,000 tonnes as against the total net open position of 28,413 tonnes on April 27. In the international market, Indonesia was offering L Asta at $3,900 a tonne (f.o.b) as against India's parity of $3,950 a tonne (c&f). Brazil was offering B Asta at $3,750 a tonne (f.o.b) and B1 at $3,600 a tonne (f.o.b).
On NCDEX, the May contract fell by Rs 939 a quintal on April 27, to Rs 14,711. The decline in other contracts was from Rs 975 to Rs 1,065 a quintal. May contract on NMCE down by 846 a quintal to Rs 14,116. The fall in June and August contracts was Rs 852 and Rs 771 a quintal respectively, while other contracts remained unchanged. The total turnover on NCDEX increased by 11,746 tonnes (29 per cent) to 51,877 tonnes, while on NMCE it moved up by 862 tonnes to 4,454 tonnes. In tandem with the futures market trend, spot prices also fell by Rs 500 a quintal to Rs 13,900 (un-garbled) and Rs 14,500 (MG 1) on April 27.

Pepper Future Witnesses Down Trend

Kochi: Pepper futures continued to fall on excessive speculative activities by some cartels. All the other origins ruled firm and contrary to this, the prices here have been falling. Indonesia has quoted L Asta $3,900 a tonne (f.o.b.), while Brazil was offering B Asta $3,750-3,800 a tonne (f.o.b.). Vietnam at $3,700 a tonne (f.o.b) last night. Investors were selling futures and buying exchange delivered. The May contract on NCDEX fell by Rs 56 a quintal to Rs 15,651. The decline in other contracts except September ranged from Rs 43 to66 a quintal. September contract increased by Rs 9 a quintal. May contract on NMCE down by Rs 17 a quintal to Rs 14,980. June, July and October contracts moved up by Rs 20, Rs 127 and Rs 140 a quintal respectively, while other contracts remained unchanged. On NMCE, total open interest went up by 21 tonnes to 4,071 tonnes. Kodagu pepper was available at Rs 3-4 below the prices in Kerala and hence domestic demand was being met by supplies from there. Spot prices fell by Rs 100 a quintal on weak demand on April 26, to close at Rs 14,400 (un-garbled) and Rs 15,000 (MG 1).

Global Rubber Prices Go Up

Kottayam: World rubber prices, ruling higher than domestic rates, offer a favourable climate for exports, suggested the meeting of exporters convened by the Rubber Board. Major exporters, cooperative societies, Rubber Mark, representatives of companies under the Rubber Board were among those who participated in the meeting. Domestic rubber rates increased above international levels during the peak production period and fell during the low production season against normal practices. Since prices increased during the peak season, major tyre companies imported rubber to overcome the shortage during the lean months. The output was 33,000 tonnes in excess of the actual requirement, while imports reached a record level of 85,000 tonnes. Exports should be promoted to decrease the excess stock in the market, the meeting assessed. The exporters are in difficulty due to delays over VAT payment and the Rubber Board should intervene, the meeting demanded. Raw material quality should be improved and steps, comprising branding, taken to compete in the international market.

2006 Categorised As Boom Year For Coffee, Rubber

New Delhi: The Department of Commerce has declared the price spectrum band for the year 2006 for rubber, coffee and tea. The price spectrum band for each commodity has been calculated on the basis of the seven years' moving average of international price for the commodity. The annual average domestic price for tea was Rs 63.62/kg during 2006 and it has been categorised as normal year for tea. The annual average domestic price for arabica coffee during 2006 was Rs 109.84/kg and it has been categorised as boom year. The annual average domestic price for robusta coffee was Rs 63.02/kg during 2006 and it has been categorised as boom year. The annual average domestic price for rubber was Rs 87.83/kg during 2006 and it has been categorised as boom year for rubber. As no tobacco grower was enrolled under the scheme, price spectrum band for tobacco has not been fixed.

Pepper Future Sees Down Trend

Kochi: Pepper futures saw a sharp decline on April 25, despite fundamentals continuing to remain strong and a optimistic world market. Surprisingly some of the bears have turned bulls now. Vietnam prices maintained to rule steady at higher levels. Steep increase in white pepper prices would have its impact on black prices as Vietnam might convert more black in to white, they predicted. According to reports from overseas, tight supply position world over might push up pepper prices in Vietnam in the coming days. Vietnam was reportedly offering 500GL at $3,300-3,350 a tonne (f.o.b). On NCDEX, May contract declined by Rs 379 a quintal on Wednesday to Rs 15,740. The down in other contracts was from Rs 332 to Rs 426 a quintal. On NMCE, May contract dropped by Rs 472 a quintal to Rs 14,985. The fall in other contracts was from Rs 210 to Rs 550 a quintal. The total open interest on NCDEX declined by 146 tonnes to 30,046 tonnes. May position fell by 1,034 tonnes to 11,759 tonnes, while June moved up by 583 tonnes to 12,685 tonnes. May position declined by 61 tonnes to 2,174 tonnes. Spot rates in tandem with the futures trend dropped by Rs 200 a quintal to close at Rs 14,500 (un-garbled) and Rs 15,100 (MG 1) on April 25.

Edible Oil Firms Bring Down Prices

Domestic edible oil producers have brought down the prices of various oils by Re 1 a kg this week to pass on the benefits of the appreciating rupee to the consumer. The country imports 40-45 per cent of its edible oil requirements. When the Centre announced the duty cut, the landed cost of crude palm oil (CPO) increased from $700 a tonne to $730 a tonne as on April 24, while the cost of RBD Palmolein increased from $700 to $745 a tonne in the same period. The international palm oil prices are rising continuously because of the diversion of palm oil to biodiesel. In a bid to check the rising edible oil prices, the government had on April 13 cut the import duty on CPO and RBD Palmolein by 10 per cent each to 50 per cent and 57.5 per cent respectively. India is one of the largest importers of edible oils buying around 5 million tonnes of edible oil annually, of which palm oil and its derivatives constitute 2.1-2.4 million tonnes. It imports palm oil mainly from Malaysia and Indonesia, and soy oil from Brazil and Argentina. In 2005-06 oil year (November-October), the country imported 2.4 million tonnes of CPO. In the November-March period of the current year, about 1 million tonnes of CPO have been imported. The domestic production of oilseeds is also down. According to the third crop estimates released by the ministry of agriculture, oilseeds production in 2006-07 is 23.26 million tonnes, 16.8 per cent down from last year's final estimates of 27.97 million tonnes. Farmers in Rajasthan, Haryana and Madhya Pradesh have shifted large tracts of land from oilseeds to wheat and pulses owing to bullishness in these two commodities.

Exporters Relieved On Abolition Of Sales Tax On Cashew

Mangalore: The Cashew Exports Promotion Council of India (CEPCI), has said the abolition of service tax, which was declared in the Annual Supplement to the Foreign Trade Policy, has given a great relief from the trauma exporters were subjected to during the last three years. They urge the Union Government to ensure that the statutorily required notifications may be issued forthwith, effective April 1, 2007. The notification should decline exemption from payment of service tax to all services and allied activities related to procurement, processing and export of cashews. India's merchandise exports have reported a quantum jump at a CAGR of 25 per cent since 2004, from $63.8 billion to $125 billion in 2007.
The incremental exports of all merchandise during the last three years have created additional 75 lakh jobs. As against this average, the cashew exports create over five lakh jobs for an export turnover of about half a billion dollars. It is regretted that the cashew exports that generate highest Gram Udyogs almost 800 per cent more than the national average for all exports has been inadvertently left out.

Spices Import Increases Due To Low Unit Value

Kochi: Imports of spices during April - February last fiscal have displayed growth of over 3,000 tonnes over the same period in the previous financial year mainly because of the competitive prices for most of the items in the world market. The total imports during April-February 2006-07 estimated at 81,150 tonnes valued at Rs 490.13 crore against 77,757 tonnes worth Rs 470.02 crore in the same period in 2005-06. There has been a substantial rise in the imports of fresh/dry ginger, turmeric, poppy seed, cassia, star anise and other spices. In most of the cases the low unit value seems to have paved the way for increased imports. A total quantity of 18,975 tonnes of fresh/dry ginger was imported valued at Rs 22.29 crore compared with 16,250 tonnes valued at Rs 33.93 crore.
As against the unit value of Rs 20.88 a kg in Apr - Feb 2005-06, it was available at Rs 11.80 a kg in the same period last fiscal. This phenomenon forced several farmers not to harvest even for seeds in Karnataka,. The present crop is being sold at local prices anywhere in India from Karnataka. Short supply of star anise, cassia, poppy seed, chilli/paprika and other spices such as aniseed, cambodge, asafoetida and herbal spices in the country has pushed up the imports of these items despite a rise in the unit value in the international market. The high prices in the global market for cloves have resulted in drop in imports of cloves, which declined to 5,600 tonnes (7,175 tonnes) valued at Rs 90.89 crore (Rs 104.30 crore) in the same period the previous fiscal. The unit value of this commodity shot up to Rs 162.31 a kg in the world market from Rs 145.37 a kg in Apr-Feb 2005-06. Imports of pepper, however, have fell to 14,755 tonnes (15,930 tonnes) valued at Rs 124.62 crore (Rs 97.40 crore). The increase in unit value, which surged to Rs 84.46 a kg from Rs 61.14 a kg in Apr-Feb 2005-06 and tight supply position in the world market said to have led to the drop in the commodity.

Dust offerings Brought Up Good Response At Tea Auction Centres

Kolkata: At the auctions held last week in three tea auction centres in Kolkata, Siliguri and Guwahati, CTC and dust offerings brought up good response. Assam CTCs sold at irregular rates following quality with rates of good brokens ranging between Rs 110 and Rs 120 per kg and fannings between Rs 90 and Rs 105 per kg. Dooars CTC saw good competition and sold readily at useful levels, particularly the better sorts, with prices ranging between Rs 90 and Rs 100 per kg. Medium sorts were between Rs 70 and Rs 80 per kg. Darjeeling teas saw good demand from the Continent with medium whole leaf prices varying between Rs 350 and Rs 400 per kg. Orthodox teas also saw good demand from the CIS as well as North Indian markets, with good whole leaf holding levels between Rs 105 and Rs 120 per kg and the larger brokens between Rs 90 and Rs 100 per kg.

Grape Exports Affected By Real Estate Boom

Hyderabad: The sudden boom in retail and real estate sectors in the last one year has impact grape exports from Andhra Pradesh. While the organised retail sector has taken away skilled manpower, the spurt in real estate activity has resulted in the disappearance of several grape gardens around the State capital. Official figures have registered a drop of 15 per cent of grape-growing area from last year's 7,000 acres due to the number of real estate and infrastructure projects coming up around the city. Unofficial figures put the grape-growing area still lower at 5,000 acres. As a result, production has come down from 80,000-1,00,000 tonnes to 50,000-60,000 tonnes this year. The main reasons for decline in output and exports are increasing cost of labour and lack of availability of quality manpower and water. There are about 600 grape growers in the State, most of them having wine yards in Rangareddy district.

Pepper Futures Surge On Increase In Vietnam Rates

Kochi: Pepper futures surge on reported slow arrivals and consequent increase in prices in Vietnam on April 23. Exporters who are having time bound commitments and cannot afford to default are covering whatever arrives now in the market. Vietnam prices said to have increased by $100 a tonne. Institutional investors here were purchasing ready pepper (garbled) and selling futures, while the processors were buying un-garbled. On NCDEX, May contract shot up by Rs 465 a quintal to Rs 16,300. The increase in other contracts was from Rs 458 to Rs 561 a quintal. On NMCE, May contract went up by Rs 532 a quintal to Rs 15,460 from Rs 14,928.
The total turnover increased by 30,874 tonne on NCDEX to 48,628 tonnes on April 23, while on NMCE it increased by 1,671 tonnes to 3,874 tonnes. The total open interest on NCDEX declined by 549 tonnes to 31,117 tonnes. May position dipped by 1,745 tonnes to 13,994 tonnes, while June moved up by 1,075 tonnes to 11,795 tonnes. On NMCE, total open interest moved up by 22 tonnes to 4,137 tonnes. May position declined by 32 tonnes to 2,363 tonnes.

India, Brazil, Vietnam To Ink Global Cashew Alliance

Mangalore: The stage is set for a global cashew body with the signing of the tripartite memorandum of understanding (MoU) by India, Brazil and Vietnam the three major players in the cashew sector in Florida on April 26. The national board of SINDICAJU (the Brazilian Cashew Association) has agreed to join the alliance. The CEPCI had forayed into a bilateral MoU with Vietnam Cashew Association (VINACAS) on January 25, with a clear understanding that it would be forwarded to SINDICAJU, and upon receipt of their confirmation with amendments a tripartite MoU among SINDICAJU, CEPCI, VINACAS will be inked latest by April 30.
The three leaders will discuss the modalities to firm up the roadmap leading to the formal inauguration of the new body within a definite time frame. The MoU on the global cashew alliance would be signed before the inaugural session of the AFI convention. This will be witnessed by leaders of all the nations representing over 90 per cent of the cashew trade in the world. The CEPCI will take up the proposal of uniform cashew specifications for India, Brazil and Vietnam. Now cashew grades do not have a uniform specification, which has, at times, led to ambiguities leading to a barrier in trade promotion.

Pepper Price Sees Up Trend

Kochi: The current pepper market trend global over points that the fundamentals are strong in the international market. Rates in Vietnam continue to be firm while other origins ruled steady. Investors could infuse in the commodity whenever there is a decline in the prices. Contrary to the expectations that there will emerge a selling pressure in early April in Vietnam and a consequent fall in prices, it maintained to rule high and stable there. The April contract on NCDEX matured and 916 tonnes of pepper were delivered. All the contracts on April 21, increased in the futures market. May contract on NCDEX increased by 116 tonnes to 15,851 tonnes on April 21. The increased in other contracts was from Rs 121 to Rs 362 a quintal. On NMCE, May contract increased by Rs 103 to Rs 14,900 a quintal.

Coonoor Tea Rates Decline

Coonoor: Prices fell on an average Rs 2 a kg at the auctions of the Coonoor Tea Trade Association (CTTA) here when the demand was poor even to absorb the low volume on offer. The offer of 7.63 lakh kg was the lowest of the last four weeks. Among the corporate purchasers, Hindustan Lever Ltd (HLL) bought selectively on the smaller grades of the medium and good medium leaf varieties. Among the CTC teas from bought-leaf factories, Homedale Estate got the highest price of Rs 85 a kg, followed by Highfield Estate Special Rs 81. Among the orthodox teas from the corporate sector, Prammas got the highest price of Rs 132 a kg , followed by Kodanaad Rs 130. Curzon and Thaishola got Rs 126, Tiger Hill and Kairbetta Rs 125, Chamraj Rs 115, Corsley Rs 114, Quin Shola Rs 104, Havukal and Glendale Rs 100. Quotations held by the brokers indicated bids ranging from Rs 39-40 for plain leaf grades and Rs 58-66 for the brighter liquoring grades.

Rubber Witnesses Down Trend

Kottayam: The declines in trend-setting world indices and the domestic fundamental factors continued to hammer rubber rates on April 20. In the physical front, RSS 4 down to Rs 86 from Rs 87 and Rs 86.50 a kg respectively at Kottayam and Kochi. In futures, rubber turned better on NMCE. The rates were weak initially since all TOCOM contracts finished in red on renewed selling pressure but improved in a late purchasing coupled with short covering. The May contract firmed up to Rs 86.98 (86.59), June to Rs 90.06 (89.37), July to Rs 92.40 (91.48) and August contract to Rs 92 (91.01) per kg for RSS 4. The May futures for RSS 3 declined to 274.7 yen (Rs 96.98) from 277.5 Yen a kg at TOCOM. Spot rubber prices were (Rs/kg): RSS-4: 86 (87); RSS-5: 85 (86); ungraded: 84 (85); ISNR 20: 85.25 (86.25) and latex 60 per cent: 63.65 (64.20).

Doubt Over Australian Wheat Crop Size

Mumbai: India could be running the risk of a forced foray into the international wheat market at a time when world market conditions have begun to turn somewhat scary. While the northern hemisphere wheat crop is advancing reasonably well and crop conditions remain favourable, there is a trouble brewing in Australia. Reports suggest that Australia is reeling under a severe drought and agricultural production may take a hit. At 15-16 million tonnes (mt), Australia accounts for about 15 per cent of the global wheat exports. Last year October 2006 too drought affected the Australian wheat crop which fell by an alarming 60 per cent to a mere 10 mt (25 mt previous year). A large opening stock (9.5 mt ) saved the situation. As a result, Australia's wheat exports plunged by a third to 10 mt (mt).
The world market is hoped to take cognisance of the development soon. A four per cent increase in wheat acreage for 2007-08 had so far kept the sentiment in check. Australian wheat is already the highest priced in the world; and, therefore, other origins such as Canada will attempt to garner a larger share of the market that Australia likely to be forced to vacate. For India, it would mean paying more for wheat. Current import prices are in the range of $225-240 a tonne cost and freight. The only silver lining is the firming rupee that may partially neutralise an imminent rise in international wheat prices. Open market prices too have not softened.

Pepper Futures Regains On Vietnam Rate Soar

Kochi: Pepper futures got well on April 20, on reports of surge in Vietnam pepper prices. Prices had fell on April 19, on rumours but they could not be confirmed from any reliable sources. Vietnam was said to be offering 500 GL on Friday at $3,300 a tonne (f.o.b). Activity in the international market, as a result, was very slow, market observers here said. Investors here were buying NCDEX delivered and around 150 tonnes of pepper was traded almost daily. On NCDEX, April contract moved up by Rs 113 a quintal to Rs 14,872 on April 20. The increase in other contracts was from Rs 179 to Rs 272 a quintal. On NMCE, April contract went up by Rs 191 a quintal to Rs 14,740. The total turnover on NCDEX declined by 4,461 tonnes to 37,380 tonnes while on NMCE, it fell by 653 tonnes to 5,114 tonnes. The total open interest on NCDEX dropped by 1,198 tonnes to 33,954 tonnes. Spot rates increased by Rs 200 a quintal on Friday to Rs 14,400 and Rs 15,000.

Rubber Price Witnesses Steady Trend

Kottayam: Physical rubber prices were firm on April 19. RSS 4 closed at Rs 870 a kg at Kottayam but the grade was down by 50 paise at Rs 86.50 a kg at Kochi. The domestic futures resumed the downtrend catalysed by the steep decline in TOCOM contracts followed by yen's climb against dollar and a fall in crude oil futures. The May contract for RSS 4 declined to Rs 86.70 (88.78), June to Rs 89.12 (91.43), July to Rs 91.70 (93.47) and August to Rs 91.11 (92.39) per kg on NMCE. The May contract declined to Rs 87.61 from Rs 89.42 a kg on MCX. The open interest on NMCE was quoted at 9,990 (9,774) lots with 5417 lots in May, 3338 lots in June, 1078 lots in July and 157 lots in August. The volumes were 2,172 (2,294) lots. The May futures for RSS 3 fell by the daily limit of 10 Yen to 277.5 Yen (Rs 99.24) a kg from 287.5 Yen at TOCOM. The grade's spot increased by 66 paise to Rs 100.11 a kg at Bangkok. Spot rubber rates were: RSS-4: 87 (87); RSS-5: 86 (86); Ungraded: 85 (85); ISNR 20: 86.25 (86.25) and Latex 60 per cent: 64.20 (64.20).

Non-Basmati Rice Exports Likely To Reach Touch 40 Lt

Chennai: Non-basmati rice exports from the country are expected be around 40 lakh tonnes during the current season ending September. Exports for the season, which began in October, could have easily reached 36 lakh tonnes by March-end and touching 40 lakh tonnes should be no problem. The hopes are against shipments of 39 lakh tonnes last season and if one were to add basmati exports, then total exports could be around 50 lakh tonnes. According to the All-India Rice Exporters Association (AIREA), basmati exports amounted 11.6 lakh tonnes during 2005-06 against 11.2 lakh tonnes the previous year.
Exports of 39 lakh tonnes during 2005-06 were against an output of 917.9 lakh tonnes, just about four per cent. Nigeria and Somalia are hopped to keep Indian parboiled prices firm. Also, rising freight charges would favour India. India, Thailand and Vietnam have space to operate in the global rice market along with Pakistan. Trade analysts say Indian rice has now got a place in the global market. It will remain a price catalyst of international volumes. Prices for Thai and Vietnam varieties are hovering around $300 a tonne. Parboiled rice is ruling around $290 a tonne f.o.b.

Govt Extends Bonus Period For Paddy Procurement

New Delhi: To ensure adequacy of foodgrains in the Central pool, the Government April 19, extended the incentive bonus of Rs 40 per quintal over the minimum support price (MSP) for paddy procurement beyond March 31. In Andhra Pradesh, Chhattisgarh, Orissa, Tamil Nadu and West Bengal, the bonus has been extended till September 30. In Bihar and Kerala, the bonus has been extended till May 31. The Cabinet Committee on Economic Affairs on April permitted the extension of incentive bonus period of Rs 40 per quintal being given for procurement of paddy during the kharif marketing season 2006-07. The bonus was extended over and above the MSP of Rs 580 per quintal and Rs 610 per quintal for common and Grade A varieties respectively.

Govt Agencies Purchase 35.45 lt Wheat

New Delhi: Even the most bearish of wheat watchers agree that the 2006-07 crop currently being marketed is bigger than the previous year's harvest. The latest official estimate pegs the size at 73.7 million tonnes (mt), up from the 69.35 mt of 2005-06. As on April 18, 46.81 lt of wheat had arrived in the country's major markets during the ongoing 2007-08 marketing season (April-June). Of the total arrivals, the Government agencies have mopped up 35.45 lt, fell from last year's 56.46 lt. More pertinent, cumulative arrivals have been lower in the two granary States of Punjab (23.35 lt versus 41.54 lt) and Haryana (15.47 lt versus 20.98 lt), with the corresponding governmental procurement levels also showing a fall (21.21 lt versus 38.11 lt and 14.17 lt versus 18.23 lt, respectively).
In fact, in Madhya Pradesh (where the crop is harvested relatively early), progressive arrivals so far, at 5.06 lt, have already overtaken last year's corresponding 3.51 lt. It is another matter that the Government agencies have purchased a mere 721 tonnes out of the mandi arrivals, with the rest being purchased by private players. While the Government would mainly buy from Punjab, Haryana and, to some extent, Uttar Pradesh, the private trade will focus on Madhya Pradesh and Rajasthan, where the levies as well as freight costs to the deficit regions are lower.

Rubber Price Sees Weak Trend

Kottayam: Physical rubber prices maintained to rule weak on April 18. Sheet rubber settled sharply down at Rs 87 against Rs 89 a kg both at Kottayam and Kochi. The rubber futures fell sharply in the morning session but regained the losses completely to finish in green on fresh buying coupled with short covering. On NMCE, the near month May contract concluded the day at Rs 89 (88.59), June at Rs 91.49 (90.89), July at Rs 93.60 (93.59) and August at Rs 92.65 (93) per kg for RSS 4. RSS 4 improved at its May contract to Rs 89.50 from Rs 89.20 a kg on MCX. Spot rubber rates were (Rs/kg): RSS-4: 87 (89); RSS-5: 86 (88); Ungraded: 85 (87); ISNR 20: 86.25 (88.25) and Latex 60 per cent: 64.20 (64.20).

48,000 Tonnes Pulses Arrive At Indian Ports

New Delhi: Over 48,000 tonnes of imported pulses have came at Indian ports out of the total 2.25 lakh tonnes (lt) contracted. STC has contracted 1 lt, Nafed (0.7 lt), PEC (0.29 lt) and MMTC (0.26 lt). The farm commodity rates monitored by the Department of Consumer Affairs have generally continued firm or declined at the 18 monitoring centres over the week ending April 10. The Government has notified extension of duty free imports of wheat till December 31, 2007. Rates of wheat at retail level continued firm at 16 out of 18 centres. The price down at Lucknow and Ahmedabad.

Rubber Price Declines

Kottayam: The domestic rubber prices decreased on April 17. Sheet rubber declined to Rs 89 a kg from Rs 91 and Rs 91.25 a kg respectively at Kottayam and Kochi. The market recorded all-round losses on buyer resistance amidst moderate selling from dealers and growers. The rubber futures made heavy losses on NMCE. The May contract down to Rs 88.30 (93), June to Rs 90.52 (96), July to Rs 93.70 (98.75) and August contract to Rs 93 (98.40) per kg for RSS 4.The volumes totalled 2,812 (1,126) tonnes. The grade completed sharply down at Rs 89.50 a kg against Rs 93.37 at its May contract on MCX. The May futures for RSS 3 slipped marginally to 286.8 Yen (Rs 100.33) from 287 Yen a kg at TOCOM. Physical rubber rates were (Rs/kg): RSS-4: 89 (91); RSS-5: 88 (90); ungraded: 87 (89); ISNR 20: 88.25 (90) and latex 60 per cent: 64.20 (64.20).

Rubber Witnesses Steady Trend

Kottayam: Spot rubber maintained to rule firm on April 16. The grade was quoted slightly higher by 25 paise at Rs 91.25 a kg at Kochi. The transactions were low. The rubber futures ruled weak on NMCE. The near month May contract firmed up marginally to Rs 92.96 (92.90) a kg, while the June contract slipped to Rs 95.85 (95.86), July to Rs 98.60 (99.09) and August to Rs 98.14 (100) per kg for RSS 4. The volumes were 1,126 (945) tonnes. Physical prices were (Rs/kg): RSS-4: 91 (91); RSS-5: 90 (90); Ungraded: 89 (89); ISNR 20: 90 (90) and Latex 60 per cent: 64.20 (64.20).

11th Plan Rice Production Aim Fixed At 115 m Tonnes

Hyderabad: With estimates putting the country's rice requirements at 120 million tonnes (mt) by 2020, plans are afoot to attain that well before that year. As against the out put of 92.8 mt in 2006-07, the concluding year of the 10th Plan, the first year of the new Plan (2007-08) is targeted to achieve 97.43 mt. Out put of rice had gone up to 92.8 mt in 2006-07 from 82.54 mt in 1997-98. The production levels shot up to 93.34 mt in 2001-02 as against 84.98 mt in 2000-01.
But it plummeted to 71.82 mt a year later. As part of achieving the targets, it proposes to expand the scope of Central sector rice seed mini-kit demonstration programme. The scheme is aimed at promoting improved crop production technologies. Emphasis should also be given on balanced use of plant nutrients along with the popularisation of integrated plant management system and method of applying nutrients in standing water (such as neem cake coated urea). The Plan also strongly advocated promotion of SRI (System of Rice Intensification) cultivation in upland and medium low land.

Kochi Tea Auction Witnesses Increase In Prices

Kochi: A good general demand resulted in the increasing of prices of almost all varieties of tea at the Kochi tea auction. Of the quantity of 9.87 lakh kg on offer in the dust category, market for high-priced CTC dusts were fully firm. The best CTC varieties commanded rates between Rs 70 and Rs 80, medium CTC realised Rs 60-68 and below medium were quoted at Rs 50-57. The leaf sale also saw a good general demand and the quantity on offer was 3.31 lakh kg. Mediums and plainer sorts sold irregularly around last. Best CTC teas sold around last. Good medium barely continued steady, while below medium sorts were lower by Re 1. The best Nilgiri varieties commanded prices between Rs 85 and Rs 95, medium Orthodox realised Rs 68-75 and plain Orthodox were quoted at Rs 50-55. In the dust category, Kodanaad CL.BOPD fetched the best prices of Rs 142, followed by Pasuparai FD by Rs 118. In the leaf varieties, Parkside Cl.SGTGFOF realised Rs 234 followed by Havukal BOPF by Rs 138.

Rubber Witnesses Steady Trend

Kottayam: Physical rubber prices were firm on April 14. RSS 4 completed flat at Rs 91 a kg both at Kottayam and Kochi in a rather inactive trading session. The rubber futures increased in all its distant contracts following fresh purchasing and short covering though the delivery month April finished slightly down at its concluding day on NMCE. The April contract expired at Rs 89.75 (89.96) a kg, while the near month May contract firmed up to Rs 92.90 (92.17), June to Rs 96 (94.99) and July to Rs 98.90 (97.60) per kg for RSS 4. Spot rubber prices rates (Rs/kg): RSS-4: 91 (91); RSS-5: 90 (90); ungraded: 89 (89); ISNR 20: 90 (90) and latex 60 per cent: 64.20 (64.20).

Pepper Futures Decline On Pessimistic Activities

Kochi: Pepper futures market down on April 13, on bearish activities armed by the rumours that Vietnam prices were down. Vietnam was, in fact, reportedly easier by $25 a tonne. In the international market B Asta was quoted at $3,435 a tonne (fob) while Vietnam Asta at $3,800-$3,900 a tonne (fob). Indonesia was offering Lampung Asta at $3,900 a tonne (fob). April contract on NCDEX fell by Rs 442 a quintal on April 13. On NMCE, April contract fell by Rs 509 a quintal to close at Rs 14,800. The fall was from Rs 399 to Rs 594 a quintal. The total turnover fell by 18,084 tonnes to 63,462 tonnes on NCDEX on April 14, while on NMCE it dropped by 4,770 tonnes to 8,373 tonnes. April position fell by 163 tonnes to 1,872 tonnes as the contract is nearing maturity. On NMCE, total open interest down by 168 tonnes to 4,839 tonnes. April position was at 262 tonnes on Friday while May at 3,022 tonnes. Spot rates also in tandem with the futures trend fell by Rs 300 a quintal to close at Rs 14,500 (un-garbled) and Rs 15,100 (MG 1) on April 14.

Cardamom Price Witnesses Steady Trend

Kochi: Cardamom prices remained to rule firm during the week at the auctions held in Kerala and Tamil Nadu on falling supply position and good buying support. Export purchasing has slowed down due to drop in the arrival of fresh green capsules. Yet, exporters bought about five tonnes on Wednesday during the auction held at Kumily by the Cardamom Processing and Marketing Company (CPMC). Arrivals at CPMC dipped by nine tonnes to 46 tonnes compared to the previous auction. The maximum price obtained was Rs 510 a kg.
The price of 8 mm bold, depending on good colour, was Rs 480-500. The 7.5 mm and 7 mm varieties were being sold at Rs 450-480 and Rs 425-450, respectively. Individual average price at various auctions continued to rule above Rs 350. At the Nedumkandam auction by Header Systems on April 10, the average price was Rs 360.18; at Kumily on April 11, it was Rs 369.80. Total arrivals during the current season up to April 11 stood at 7,054 tonnes, against 8,182 tonnes in the corresponding previous period. Sales stood at 6,493 tonnes (7,642 tonnes). The weighted average price as on April 11 was Rs 306.37 (Rs 216.67).

Decision On Edible Oil Import Duty Cut Is Likely

The Cabinet Committee on Economic Affairs did not take any decision on reducing edible oil import duty, Information and Broadcasting Minister and Cabinet spokesperson Priya Ranjan Dasmunsi said. Earlier, Rural Development Minister Raghuvansh Prasad had told reporters that the government had decided to cut the import duty on edible oils.

Cotton Prices Up 15% On Demand, Low Supply

The spot prices of cotton surged by 15 per cent in the last one month due to the domestic demand and low arrivals. The benchmark Jaydhar variety rose to Rs 4,893 a quintal from Rs 4,274 a quintal during the month. V797, a principal cotton variety, jumped by 12.58 per cent to Rs 4,527 a quintal from Rs 4,049 a quintal. Similarly, NHH shot up by 6.35 per cent to settle at Rs 5,174 a quintal. Bucking the trend, 26M dropped by 6.28 per cent to Rs 5,230 a quintal. The sentiment in the local variety, J34, too, remained bullish throughout the month, with the price hovering around Rs 5,205 a quintal, reflecting a rise of 8.17 per cent. Karanji was another variety that remained in the limelight during the period by gaining 5.55 per cent to hit Rs 3,800 a quintal. All the other varieties were hit by tepid demand, resulting in prices rising mildly in the range of 2 to 5 per cent. Shrinking arrivals in the market yards have led to the current rise in prices of cotton. Market sources believe demand from mills is directly met by local suppliers, resulting in low arrivals in mandis. Mandis across the country are witnessing arrivals of 25,000-30,000 bales (1 bale = 170 kg) against the normal arrivals of 50,000-60,000 bales during the same time last year. Cotton prices are rising purely on domestic demand without any firm direction from the international market. Prices in the international market remained range-bound amid adequate supply. China, meanwhile, offers a golden opportunity to the domestic cotton exporters following lower sales by the US. According to data released by the United State Department of Agriculture, the acreage under cotton dropped in the US for the December 2007 crop. Hence, the prices that were currently firm would remain upbeat through the rest of the year on the expected Chinese demand, said another trader. Arrivals in Gujarat would remain thin throughout the rest of the season, said Manubhai Shah, director of East India Cotton Association. In the 2006 crop season, the state received a total of 9.3 million bales. In 2005-06, the country had a closing stock of 72 lakh bales, which is expected to come down to 45 lakh bales this year. In 2006-07, cotton output is likely to touch 270 lakh bales compared with 245 lakh bales last year.

Rubber Falls On Buyer Resistance

Kottayam: Spot rubber surrendered further on purchaser resistance ignoring the positive closing in global trendsetters. Sheet rubber RSS 4 declined to Rs 92 from Rs 93 a kg both at Kottayam and Kochi amidst moderate selling from traders. The April contract for the grade declined to Rs 91.60 (92.66), May contract to Rs 94.25 (95.30), June to Rs 97.61 (99.31) and July to Rs 100.01 (100.97) a kg on National Multi-Commodity Exchange. The open interest on NMCE was quoted at 12,947 (12,962) lots with 3,298 lots in April, 5,570 lots in May, 3,328 lots in June and 751 lots in July. The May futures for RSS 3 increased to 285.5 Yen (Rs 102.64) from 281.8 Yen a kg at TOCOM. RSS 3 (spot) declined by 8 paise to Rs 99.82 (99.90) a kg at Bangkok. Spot rates were (Rs/kg): RSS-4: 92 (93); RSS-5: 91 (92); Ungraded: 90 (91); ISNR 20: 91 (92) and Latex 60 per cent: 64.20 (64.20).

Pepper Prices Rise To 7-Yr High

Due to sharp fall in domestic production and growing demand, prices of pepper have gone up to seven-year high radically reversing the downtrend persisted since 1999-2000. The prices of different grades of pepper ranged between Rs 14,000 and Rs 14,400 a quintal this week against Rs 5000-6000 last year, according to trading circles in Wayanad district, which accounts for nearly half of Kerala's pepper production. A major factor contributing to the spurt in prices was fall in domestic production by nearly 50 per cent from the normal 70,000 tonne. International Pepper Community (IPC) had anticipated this season's production to be 65,000 tonne but the post-harvest figures showed it to be 35,000 tonne. Probably, the price trend would continue as the shortfall in demand was unlikely to be met through imports, market sources said. Medium traders as well as farmers, however, fear that big traders would lobby for cut in import duty on pepper to pave way for bulk import from Vietnam, which has overtaken India as world's leading pepper producer. As the production did match even the domestic demand, the shortfall is likely to be filled by release of previous stock by big farmers, who would be keenly watching the movement of price. The pepper prices this year have begun to go up after the harvesting in January, which leaped from Rs 10,800 to Rs 14,400 since mid-March, market sources said. The prices touched the dizzying heights of Rs 26,500 a quintal in 1999-2000 but had been steadily going down since then. Last year, the highest price offered to farmers by the state-supported procurement programme was as low as Rs 7500 a quintal. The Government had to offset the loss suffered by the co-operative agencies involved in procurement last year. It is in view of this, proposed central rehabilitation package for cash crops in Kerala lays its thrust on improving productivity through replantation and rejuvenation of major crops including pepper. Small and marginal growers are unlikely to have been benefited from the price increase as their output have either been sold immediately after harvesting or cornered by futures traders at low rates before harvesting. The farmers unions here fear that the big traders would lobby for cut in import duty on pepper when the country sign trade pact with ASEAN.

Vanilla Production Likely To Slip 50-60%

Kochi: Vanilla production is likely to come down by almost 50-60 per cent during the next September-October harvesting season in Kerala. According to estimates of growers in the state, overall production would be in the range of 400-500 tonne of green beans. The price of green beans, that fetched Rs 1500 a kg in 2003, had plummeted to Rs 80-100 during the 2006 season. The sharp fall in prices had forced a large number of growers to withdraw from vanilla cultivation, affecting production this season. In most plantations, farmers have failed to pollinate flowers, crucial in production of green beans, because of lower prices and marketing hurdles, compounded by extreme weather conditions. According to growers, marketing suffered due to lack of agencies to procure green beans during last season. Vanilla India Producer Company (VANILCO), a farmers' initiative, had withdrawn from procurement last season as they had a carry over stock of 25 tonne of vanilla extract. The company had decided not to intervene in the market unless the back log was cleared completely. The call option introduced by VANILCO in 2006 had also evoked poor response. During the 2005 season, VANILCO had procured around 130 tonne of beans at Rs 250 per Kg. Around two lakh plus vanilla growers in Kerala's South had invested heavily in the crop during the last 3-4 years. A major chunk of farmers had even abandoned other crops in the vanilla boom. With the last season proving a cropper, farmers are now hitching their hopes on the anticipated drop in production.

Chana Futures Decline On Profit Taking

Mumbai: Pepper and chilli futures on April 10, hit the lower circuit of 4 per cent at Rs 15,878 and Rs 5,962 per quintal. However, they managed to bring down losses and closed 2.68 per cent at Rs 16,095 per quintal and 3.25 per cent at Rs 6,008 per quintal, respectively. Guarseed for May delivery lost 1.25 per cent to Rs 2,056 per quintal as NCDEX warehouse stock increased 13 per cent to 27,777 tonnes. Profit booking drew chana futures down 0.96 per cent to Rs 2,381 per quintal. Mentha oil and rubber futures on MCX lost 1.33 per cent and 1.98 per cent to Rs 603 per kg and Rs 9,280 per quintal. NCDEX reported a turnover of Rs 4,586 crore up to 5 pm (Rs 4,228 crore, up to 2 p.m.) on 138,930 trades (127,890), while on MCX it was Rs 3,793 crore up to 5 pm (Rs 8,093 crore, up to 2 p.m.) on 67,039 (143,864) trades.

AP To Produce More Flood-Resistant Rice

Hyderabad: After testing the improved Swarna rice variety, which can resist floods, in a few pockets last year, the Andhra Pradesh Government and ANGRAU have decided to rise the use of the seed in the next kharif season. The upgraded variety promises to be useful to farmers in the rice-growing coastal areas prone to floods and cyclones every year. Submergence of paddy fields due to floods and cyclones results in losses to the tune of hundreds of crores. The improved variety can withstand up to 20 days of submergence and save the farmers from losing the crop. They are going to test the improved variety for resistance and yields in additional extent in the next kharif season in East and West Godavari and Krishna districts, some of the important paddy-growing districts in the State.

Rubber Witnesses Steady Trend

Kottayam: Physical rubber prices were firm on April 09. Sheet rubber closed unchanged at Rs 94.50 a kg at Kottayam as on April 7. The grade reached Rs 95 a kg at Kochi in the morning session but fell back towards close to Rs 94.25(94.50) a kg on buyer resistance. The rubber futures declined on NMCE. The April contract finished the day at Rs 93.65 (94.22), May at Rs 96.85 (98.13), June at Rs 100.60 (102.20) and July at Rs 102.21 (103.39) a kg for RSS 4. The May contract for RSS 4 dropped to Rs 96.50 from Rs 97.99 a kg on MCX. Spot rates were (Rs/kg): RSS-4: 94.50 (94.50); RSS-5: 93.50 (93.50); ungraded: 92.50 (92.50); ISNR 20: 93.25 (93.25) and latex 60 per cent: 65.25 (64.70).

Speculative Purchasing Drives Chilli Futures

Mumbai: Pepper for April delivery on NCDEX touches the upper circuit of 6 per cent to close at Rs 16,135 per quintal, while the May contract increased 5.89 per cent to Rs 16,640 per quintal on the back of strong international prices. Speculative purchasing pushed chilli futures on NCDEX up 1.67 per cent to Rs 6,218 per quintal even as spot prices in Guntur quoted lower at Rs 5,100 per quintal on Monday against April 5, Rs 5,250. Arrivals increased to 1.25 lakh bags (of 50 kg) against 60,000 bags on April 6. Chana futures gained 2.37 per cent to Rs 2,417 per quintal as Government revised the country's production estimates at 59.6 lakh tonnes against its earlier estimate of 61.25 lakh tonnes.
Mentha oil futures on MCX increased 2.36 per cent to Rs 593 per kg. Potato Tarkeshwar futures increased by 1.28 per cent to Rs 568 per quintal on profit booking. Castorseed and barley futures on NCDEX were declined by 1.26 per cent and 1.73 per cent to Rs 429 per kg and Rs 876.20 per quintal. Sugar futures dropped 1.18 per cent to Rs 1,422 per quintal. NCDEX recorded a turnover of Rs 4,112 crore up to 5 pm (Rs 2,495 crore, up to 2 p.m.) on 125,950 trades (79,677) while on MCX it was Rs 2,378 crore up to 5 pm (Rs 632 crore, up to 2 p.m.) on 49,752 (19,078) trades.

Pepper Futures Mkt Increases

Kochi: The pepper futures market increased on April 9, breaking the circuit level and reported continuous increase in Vietnam prices. Given this upward trend, speculators were pushing up the prices in the futures market. Spot rates also increased by Rs 600 a quintal despite a slow down in the domestic buying because of the rise in prices. Vietnam prices for 550 GL on April 9, said to have crossed to Rs 3,000 a tonne (fob). April contract on NCDEX shot up to Rs 16,135 a quintal on April 9, from last weekend close of Rs 15,223. The rise in other contracts was from Rs 935 to Rs 1,002 a quintal.
On NMCE, April contract increased to Rs 15,300 a quintal from Rs 14,552. The increase in other contracts was from Rs 902 to Rs 963 a quintal. The total turnover on NCDEX increased by 34,053 tonnes to 78,149 tonnes, while on NMCE it increased by 5,857 tonnes to 13,537 tonnes. The total open interest on NCDEX increased by 737 tonnes to 32,441 tonnes. However, April position decreased by 364 tonnes to 3,438 tonnes. May and June positions went up by 187 tonnes and 244 tonnes, respectively, to 15,639 and 9,329 tonnes. The spot rates in tandem with the upward swing in futures market shot up by Rs 600 a quintal on Monday to close at Rs14,500 (un-garbled) and 15,100 (MG 1).

Soyabean Meal Exports Reach Rs 4mn Mark

New Delhi: Export of soyabean meal has for the first time reached the four million tonne mark during 2006-07 (April-March). According to Indore-based Soyabean Processors Association of India (SOPA), total soyabean meal exports for the just ended financial year totaled to 41,96,295 tonnes, which was 20.07 per cent higher than the 34,94,860 tonnes of 2005-06. In value terms, too, exports scaled the Rs 4,000 crore level to reach a record Rs 4,070 crore. However, on a seasonal basis (October-September), soyabean meal exports during 2006-07 (till March 2007) stood at 27,62,268 tonnes, which was hardly 0.47 percent more than the 27,49,266 tonnes of October-March 2005-06.
In fact, exports in March 2007, at 5,65,946 tonnes, were 20.39 per cent lower than the 7,10,859 tonnes of March 2006. Moreover, in the 2005-06 and 2006-07 financial years, there were carryover stocks from earlier seasons, which no longer exist. Domestic soyabean meal in take is annually estimated now at around two million tonnes, of which 1.8-1.9 million tonnes is accounted by the poultry feed sector, with the rest going for food purposes (soya-flour, nuggets and other extruded products). Till the late 90s, barely 5-6 lakh tonnes of soya meal was being consumed at home. The Agriculture Ministry has estimated the 2006-07 crop at an all-time-high 8.67 million tonnes, which is much higher than the 7.15 million tonnes assessed by the SOPA.

Edible Oil Crop Acreage Likely To Dwindle

Mumbai: Rapidly increasing urbanisation in India and China likely to result in huge shrinkage in edible oil crop acreage area resulting in production shortfall. According to the Centre's estimates, the acreage under kharif and rabi oilseeds have declined by 5.47 per cent this season to 226.7 lakh hectare as compared with 239.7 lakh hectare during the last season. The total sowing area under rabi oilseeds alone slipped by 10.34 per cent to 100.80 lakh hectare from 112.42 lakh hectare last season. The loss in acreage area has resulted into a production loss of 7.30 per cent to 95.2 lakh tonne from 102.7 lakh tonne last rabi season. According to the weekly publication Oil World's data, the production estimates of 2007-08 at 373 million tonne was achieved in 2004-05 which indicates that the per hectare yield has grown remarkably faster than the estimated in early this century. The world oilseed production stood at 387 million tonne in 2006-07 as compared to 381 million tonne in 2005-06 and 371 million tonne in 2004-05. Likewise, world vegetable oil production was 113.7 million tonne in 2005 against a forecast of 113.7 million tonne in 2010. This indicates that the demand is increasing alarmingly. The world demand of vegetable oils grew by 6 million tonne comprising 4 million tonne for food and 2 million tonne for energy sectors. Meanwhile, emphasising on the urgent need to raise oilseed production, A R Sharma, president of the Solvent Extractors' Association of India, said that at present our farm productivity is just 950 - 970 kgs/ha which is almost half of world average.

Coonoor Tea Sale Witnesses Decline In Prices

Coonoor: Prices declined at the auctions of the Coonoor Tea Trade Association (CTTA) here this week even as news came in that some sections of the purchasers who were calling on the Commercial Taxes Minister and secretaries in Chennai had assured the Government that they will pay a minimum of Rs 55 a kg to enable the Government lower the VAT to one per cent from the present 4 per cent. As much as 50 per cent of the leaf grades and 30 per cent of the dust grades went unsold for want of bids. Even among those sold, the bulk of the better medium, medium and plainer teas got only less than Rs 50 a kg.
Although the volume of 7.76 lakh kg on offer was less than the previous week by as much as three lakh kg, the demand was not matching enough to absorb the teas at high bids. The better medium and medium grades eased up to Rs 2 a kg and sizable volume was withdrawn as there were no takers. Among the corporate purchasers, Hindustan Lever Ltd (HLL) showed interest on better medium sorts. Among CTC teas from bought-leaf factories, Prammas got the highest price of Rs 122 a kg. Darmona Estate Rs 87, followed by Highfield Estate Rs 80. For the dust grades, they ranged, Rs 43-45 for the plain sorts and Rs 63-78 for the brighter liquoring sorts.

Oilmeal Export Surges

Mumbai: Export of oilmeals soared to a new high in terms of both volume and value. Shipments during fiscal 2006-07 aggregated 51.7 lakh tonnes (lt) valued at Rs 4,300 crore. This represents a 17 per cent rise by volume and 21 per cent by value. Rapeseed extractions recorded an increase to 9.7 lt. from 5.3 lt the previous year. Soyabean extraction maintained to dominate the export basket with 36.6 lt (34.2 lt), while ricebran extraction shipments doubled to 2.5 lt. Castor meal export was unchanged at 2.0 lt owing to lower crop.

Rubber Witnesses Up Trend

Kottayam: The domestic rubber futures improved further on April 6. The last traded rate for RSS 4 in the most active May delivery was Rs 97.89 against Rs 97.04 a kg on MCX. The April contract for the grade was quoted better at Rs 94.85 (94.15), May at Rs 98.75 (97.39), June at Rs 102.50 (100.96) and July at Rs 103.60 (102.32) per kg on NMCE. The volumes were 688 (1,128) lots, while the open interest was 12,685 (12,660) lots with 4267 lots in April, 5394 lots in May, 2475 lots in June and 549 lots in July. The May futures for RSS 3 firmed up to 277.3 Yen (Rs 99.71) from 274 Yen a kg at TOCOM

Pepper Witnesses Uptrend

Kochi: Pepper futures market maintained its upsurge on reported tight supply position and consequent price rise in Vietnam. NCDEX is having a stock of 5,864 tonnes in the warehouses as on April 4, while NMCE had 7,639 tonnes as on April 3. April contract on NCDEX increased by Rs 504 a quintal to Rs 15,318 on April 6. The increase in other contracts was from Rs 386 to Rs 498 a quintal. On NMCE, April contract went up by Rs 464 a quintal to Rs 14,575. The total turnover on NCDEX increased by 532 tonnes to 61,108 tonnes, while on NMCE, it declined by 4,458 tonnes to 7,053 tonnes. The total open interest on NCDEX declined by 164 tonnes to 31,119 tonnes.

Pepper Future Witnesses Up Trend

Kochi: Reported tight supply position in Vietnam and further increase in prices drive Indian pepper futures market significantly on April 4. Meanwhile, bull cartels in India were also pushing up the rates supported by investors. In the international market, purchasers continued to wait and watch the situation in Vietnam, where the arrivals have not picked up yet. Purchasers in the world market seem to be in a dilemma given the uncertain situation in Vietnam. The increase in other contracts was from Rs 403 to Rs 458 a quintal. April contract on NMCE moved up by Rs 544 a quintal to Rs 14,150.
The total turnover also increased by 14,417 tonnes to 60,576 tonnes, while on NMCE it increased by 5,233 tonnes to 11,511 tonnes. The total open interest on NCDEX dipped by 435 tonnes to 31,283 tonnes. April position fell by 723 tonnes to 4,341 tonnes while May and June went up by 36 tonnes and 80 tonnes respectively to 15,492 tonnes and 8,009 tonnes. On NMCE, total open interest dropped by 3 tonnes to 4,692 tonnes. April position was at 340 tonnes while May was down by 45 tonnes to 2,878 tonnes

Tea Replanting Package Agreement Will Be Signed On June 29

Thiruvananthapuram: The Union Minister of State for Commerce, Mr Jairam Ramesh, has said that the loan pact for replanting/rejuvenation of tea plantations will be inked on June 29. Plantation owners will get 50 per cent of the funds as soft loan from the Special Purpose Tea Fund, and another 25 per cent as subsidy from the Centre. The financial parameters of the collaborative package would be worked out in consultation with the Union Finance Ministry.
The package is being implemented under the 11th Five Year Plan and covers tea, coffee, pepper, cardamom, coconut and rubber. It has been proposed to replant 70,000 hectares of pepper; 25,000 hectares of cardamom; 50,000 hectares of rubber; and four lakh hectares of coconut. A decision has been taken with respect to opening 12 of them on May 25 and the other two on June 9. The State Government has agreed to grant certain concessions to the respective plantation owners. The plantations were very old and low productivity was the main reason for the fall in prices and the resultant crisis. While signing the ASEAN free trade pact, the Centre would try to ensure that the interests of Kerala are protected.

Speculative Buying Pushed Up Jeera Futures

Mumbai: Pepper for April delivery on NCDEX gained 2.96 per cent to Rs 14,790 per quintal. Spot rates were quoting around Rs 14,500 per quintal while in Vietnam prices were $2,900 per quintal. Speculative purchasing pushed up jeera futures by 1.04 per cent to Rs 13,193 per quintal. Mentha oil futures on MCX increasd 2.72 per cent to Rs 607 per kg. Profit booking pushed down chana futures 1.95 per cent to Rs 2,410 per quintal. Higher sugar output estimate of 322.9 tonnes by the government, knocked off 1.23 per cent of sugar futures on NCDEX to Rs 1,440 per quintal.

Pepper Futures Increases On Vietnam Rate Rise

Kochi: Pepper prices increased by over Rs 500 a quintal on the futures markets on reports of an increase in Vietnam prices on April 4. The speculators increased the futures while investors sold futures and bought NCDEX delivered. Spot rates also increased by Rs 400 a quintal on Wednesday on buying support and in tandem with the futures market trend. April contract on NCDEX increased by Rs 576 a quintal to close at Rs 14,385 from Rs 13,809 on April 3. The increase in other contracts was from Rs 597 to Rs 640 a quintal. On NMCE, April contract moved up by Rs 531 to close at Rs 13,808 from Rs 13,277 a quintal. The increase in other contracts was from Rs 536 to Rs 635 a quintal.
The total turnover on NCDEX increased by 60 per cent on April 4, from that of April 3, to 46,169 tonnes, the country's estimated production. The total open interest on NCDEX increased by 760 tonnes to 31,718 tonnes. April position dropped by 229 tonnes to 5,064 tonnes, while May increased by 107 tonnes to 15,456 tonnes and June by 754 tonnes to 7,929 tonnes. April position was at 335 tonnes, while May was at 2,923 tonnes. The spot rates increased by Rs 400 a quintal to close at Rs 13,300 (un-garbled) and Rs 13,900 (MG 1) on April 4.

14 Tea Estates To Resume Ops At Idukki

Thiruvananthapuram: Fourteen tea plantations in Idukki district of Kerala will restart operations within the next three months. The 14 plantations comprise nine belonging to RBT group, three to MMJ group and two to Peerumedu Tea Estates. The representatives of MMJ group agreed to resume operations at its plantations at the earliest. The representatives of Bonaccord estate at Vithura near here are reported to have apprised the ministers of the financial problems facing the plantation. The State and Union governments have announced several concessions to reopen the plantations.

Rubber Price Increases

Kottayam: Physical rubber prices witnessed a better trend on April 3. Sheet rubber RSS 4 moved up to Rs 94.50 a kg (Rs 94) at Kottayam and Kochi on renewed buying interest. In futures, the April contract on the NMCE finished the session at Rs 93.50 (Rs 93.08), May at Rs 96.58 (Rs 96.51), June at Rs 100.08 (Rs 99.88) and July at Rs 101 (Rs 101.05) for RSS 4. The open interest was 12,704 tonnes (12,665), with 4,562 tonnes in April, 5,359 tonnes in May, 2,281 tonnes in June and 502 tonnes in July. The April contract improved to Rs 93 (Rs 92.48) on the MCX. RSS 3 increased to Rs 101.60 (Rs 100.57) at Bangkok. The May futures for the grade closed marginally higher at 278.4 yen (Rs 101.16) from 278.2 yen at TOCOM. The spot rates per kg were as follows: RSS-4 94.50 (94), RSS-5 93.50 (93), Ungraded 92.50 (92), ISNR 20 93.25 (92.75) and Latex 60% 64.70 (64.70).

Coir Development Utilizes 92.68% Of Budgetary Allocation For 2006-07

Thiruvananthapuram: The Coir Development Department has used 92.68 per cent of the Budgetary allocation for 2006-07. The Department was able to invest Rs 46.12 crore of the State Plan allocation of Rs 46.82 crore. The remaining amount under the Centrally sponsored schemes could not be used as the Centre did not make available the amount to the State Government through the Coir Board.

Chilli Futures Turn Explosive On NCDEX

Mumbai: Chilli futures on the NCDEX turned explosive, hitting the day's high of Rs 5,538 per quintal before closing at Rs 5,390. Turmeric and chana futures lost 1.34 per cent and 3.29 per cent respectively to Rs 2,291 and Rs 2,352. Cardamom futures on the MCX dropped at 4.01 per cent to Rs 464 a kg on reports of cloudy weather in Kerala. Potato Agra and Tarkeshwar futures on the MCX lost 1.34 per cent and 1.41 per cent respectively to Rs 554 and 578.5 a quintal. Potato futures on the NCDEX gained 1.04 per cent to Rs 602. Expectations of lower rape/mustard seed output at 60.2 lakh tonnes against 67.7 lakh tonnes last year increased futures on the NCDEX by 0.48 per cent to Rs 473 per 20 kg.

Rubber Improves On Covering Buys

Kottayam: The last day of the financial year saw a firm closing in physical rubber prices. The covering groups and purchase agents kept the prices slightly higher hoping a better opening on April 2. RSS 4 moved up to Rs 94 from Rs 93.50 a kg at Kottayam, while the grade was steady at the same rate at Kochi. The April contract on NMCE concluded at Rs 93.30 (92.87), May at Rs 96.99 (96.54), June at Rs 100.19 (99.55) and July at Rs.101.45 (100.51) a kg for RSS 4. The open interest was 12,431 (12,522) tonnes with 4578 tonnes in April, 5332 tonnes in May, 2044 tonnes in June and 477 tonnes in July. Spot rubber rates were (Rs/kg): RSS-4: 94 (93.50); RSS-5: 93 (92.50); ungraded: 92 (91.50); ISNR 20: 92.75 (92.50) and latex 60 per cent: 64.20 (64.20).

Pepper Witnesses Up Ward Trend

Kochi: The current trend in the global market shows changes for an upward swing given the short supply position. Not much purchasing is taking place in the international market. Purchasers were trying it cool without disturbing the market. The prices in Vietnam said to have increased by $50 that that of Friday, while Brazil has been offering of late at $2,900-3,000 a tonne (c&f). Indian pepper is now out-priced at $3,300 a tonne (c&f). Good domestic demand is keeping the price here on the higher levels. The open interest declined by 727 tonnes to 27,922 tonnes. Spot prices went up by Rs 900 a quintal to Rs 12,700 (un-garbled) and Rs 13,300 (MG 1). The spot rates ruled steady at previous level of Rs 12,700 (un-garbled) and Rs 13,300 (MG 1) a quintal. Investors were buying against their sales in the futures market.
According to International Pepper Community (IPC) on March 31, the black pepper market during the week (26 - 30 March 2007) showed an increasing trend. Vietnam, the largest pepper supplier is now in the peak of harvesting season and driving global market. At HCMC, trading is very active as demand overwhelms supplies of new crop. In India, the market increased and prices moved up steadily. Activity at the Commodity Exchange was brisk particularly for April and May contracts with futures prices increasing by around 8 per cent. Prices at Kuching increased for both local and FOB. In Lampung, the market was quiet as available material was very limited.

April contract on NCDEX increased by Rs 59 a quintal to close at Rs 13,859 from Rs 13,800 on March 30. The increase in other contracts was from Rs 57 to Rs 158 a quintal. The total turnover dropped sharply by 20,032 tonne to 25,648 tonne on NCDEX while it fell by 2,399 tonne to 4,284 tonne on NMCE. The total open interest on NCDEX dropped by 181 tonne to 27,922 tonne. April position slipped by 367 tonne to 5,906 tonne May by 471 tonne to 13,232 tonne. June increased by 575 tonne to 6,001 tonne. On NMCE total open interest moved up by 5 tonne to 4,512 tonne. April position was at 325 tonne while May at 2,845 tonne.