Rubber Board Calls Bids For Materials

Kottayam: Planting materials are available for the current season, according to Rubber Board. For this, the Board has called applications. The materials are ready for distribution from the Boards' central nursery at Karikkattoor and from the regional nursaries at Kadackamon, Kanjikulam, Manjeri, Ulickal and Alakod. Brown budgrafts of RRII 105, limited number of brown budgrafts of RRII 400 series and budwood of okayed clones are now readily available. If brown budgrafts of other okayed clones were needed, it will be supplied if payment is made inn advance. The cost of brown budgraft is Rs 14 per graft and that of budwood is Rs15.00 per meter. Those who are keen on should submit applications in prescribed form along with the latest land tax receipt or attested copies of documents to prove their ownership at the respective regional offices from June 4 to June 8.

Rubber Witnesses Firm Trend

Kottayam: Domestic spot rubber ruled firm on May 30. RSS 4 closed flat at Rs 880 a kg at Kottayam, while it increased by 25 paise to reach the same level at Kochi. On NMCE, the June contract flared up to Rs 89.45 (88.08), July to Rs 90.26 (89.02), August to Rs 89.45 (88.27) and September to Rs 86.69 (85.48) per kg for RSS 4. The volumes fell to 1,413 (2,246) lots. The grade improved at its June futures to Rs 89.25 from Rs 87.23 a kg on MCX. The open interest was 7,433 (7,249) lots with 3,458 (3,489) lots in June, 3,052 (2,835) lots in July, 763 (766) lots in August and 160 (159) lots in September on NMCE. RSS 3 closed at 288.6 Yen (Rs 96.51) against 288.7 Yen a kg at its June futures on TOCOM. The grade fell by 38 paise to Rs 97.42 (97.80) a kg at Bangkok. Physical prices were (Rs/kg): RSS-4: 88 (88); RSS-5: 87 (87); ungraded: 86 (86); ISNR 20: 87 (87.25) and latex 60 per cent: 62.60 (62.60).

Pepper Future Witnesses Mixed Trend

Kochi: Pepper futures market on May 29, indicated a marginal increase on nearby positions while distant positions fell, as there was purchasing interest for the former. Currently, Indian produce remained at an advantageous position being competitive. However, the restrictions on near month position are impacting the market badly pushing the futures prices down. Vietnam is still holding back Asta grade, which it is quoting at $4,000 a tonne (fob). Indonesia and Brazil are also said to be offering Asta grade at $3,900 a tonne (fob). Where as, the Indian parity is at $3,850-$3,900 a tonne (c&f). Instead of controlling the intra-day trade, which is responsible for the high volatility in the market, the exchanges have imposed restrictions on positions.
June contract on NCDEX increased on May 29, to close at Rs 13,661 from Rs 13,633 on May 28. The July, August and September contracts improved by Rs 26, Rs 22 and Rs 4 a quintal while October and November declined by Rs 49 and Rs 180 a quintal. On NMCE, June improved to close at Rs 13,267 from Rs 13,263. July and October increased by Rs 46 and Rs 98 a quintal while August and November decreased by Rs 217 and Rs 19 a quintal. September remained unchanged. The total turn over on NCDEX increased by 190 tonnes to 25,825 tonnes while on NMCE it fell by 7 tonnes to 2,383 tonnes. Spot prices ruled firm at previous levels of Rs 13,600 (un-garbled) and Rs 14,200 (MG 1) a quintal on May 29.

Rubber Witnesses Down Trend

Kottayam: The rubber market maintained to shed the gains on May 29. On the physical front, RSS 4 fell to Rs 88 and Rs 87.75 a kg respectively at Kottayam and Kochi from Rs 90 a kg on buyer resistance. The market recorded all round losses, while domestic futures also catalysed the fall. The rubber futures stayed in tune quoting the June contract for RSS 4 at Rs 88.10 (88.44), July at Rs 88.90 (89.47), August at Rs 88.25 (88.83) and September contract at Rs 86 (86) per kg on NMCE. The June contract for RSS 4 declined to Rs 87.50 (88.28) a kg on MCX. The markets regained the early losses partially towards close possibly on short covering. Spot prices were (Rs/kg): RSS-4: 88 (90); RSS-5: 87 (89); ungraded: 86 (88); ISNR 20: 87.25 (89) and latex 60 per cent: 62.60 (63.65).

India Largest Provider Of Black Pepper To US

Kochi: India was the biggest exporter of whole black pepper to the US during January-March 2007, while it was at second position in shipments of ground pepper to that country during the period. Shipments of black pepper from India to the US stood at 4,011 tonnes in January - March 2007 followed by Brazil 2,925 tonnes and Vietnam 859 tonnes. Total import into the US market during January-March 2007 was reportedly down by 21 per cent or 3,322 tonnes to 12,452 tonnes against 15,774 tonnes in the corresponding period last year. Total imports of whole black pepper were at 8,952 tonnes. Total import of whole white pepper into the US was reported to be around 1,247 tonnes, a decline by 21 per cent or 323 tonnes compared with 1,570 tonnes in the same period last year. Import of ground pepper into the US, however has recorded a substantial increase by 20 per cent. During the first quarter, the US imported 2,253 tonnes of ground pepper, an increase of 372 tonnes when compared to imports for the same period in 2006, which was only 1,882 tonnes.

Pepper Future Witnesses Falling Trend

Kochi: Pepper futures fell on May 28, as the authorities concerned have not yet shown any positive signs to consider the trade demands on the near month level limit, which will become applicable from July. June contract on NCDEX down by Rs 279 a quintal to Rs 13,619. The decline in other contracts was from Rs 199 to Rs 359 a quintal. The total turnover on NCDEX increased by 10,778 tonnes to 25,636 tonnes while on NMCE, it moved up by 839 tonnes to 2,390 tonnes. Total open interest on NCDEX went up by 57 tonnes to 25,535 tonnes. June and July positions fell by 59 tonnes and 18 tonnes, respectively to 12,003 tonnes and 9,177 tonnes. On NMCE, total open interest increased by 51 tonnes to 3,365 tonnes. June position increased by 56 tonnes to 2,466 tonnes. In tandem with the futures market trend, spot prices also decreased by Rs 200 a quintal on May 28, to close at Rs 13,600 (un-garbled) and Rs 14,200 (MG 1).

Jeera Product Committee Has Not Resigned

Mumbai: The controversy over quality of jeera being delivered at NCDEX got murkier with unconfirmed news in the markets that the 12-member Jeera Product Committee putting in its papers. However, the NCDEX refused the development. The jeera product panel has not resigned. They are aware of the issues on quality of jeera delivered at NCDEX warehouses and sort out if there are any genuine grievances.

Good Demand For Darjeeling Teas

Darjeeling teas evoked good demand with prices following quality. Kolkata: All the three auction centres at Kolkata, Siliguri and Guwahati saw a change in market trends with prices ruling steady to dear for CTC leaf and dust categories. The western India purchasers operated for the improved liquoring varieties with improved inquiry from one of the major tea packeteers. The orthodox market remained buoyant; clean well-made whole leaf was firm with brokens and fannings tending dearer. Darjeeling teas evoked good demand with prices following quality. The market in Colombo auctions continued to be strong with tippy varieties escalating in price with competition from the CIS and theWest Asia.

Rubber Price Declines

Kottayam: The rubber prices softened on May 26. In the physical front, sheet rubber declined to Rs 91 a kg from Rs 92 a kg at Kottayam and Kochi. The rubber futures led the domestic trend recording moderate losses on NMCE. The June contract lost further to Rs 91.35 (92.01), July to Rs 92.60 (93.20), August to Rs 91.50 (92) and September contract to Rs 89 (89.96) per kg for RSS 4. The June contract for RSS 4 declined to Rs 91 (91.86) a kg on MCX. Spot rubber rates were (Rs/kg): RSS-4: 91 (92); RSS-5: 90 (90.50); Ungraded: 88.50 (89); ISNR 20: 89 (90.25) and Latex 60 per cent: 64.20 (64.70).

Plea To Relocate Cashew Research Station

Visakhapatnam: There is an urgent required for transferring the cashew research station at Bapatla in Guntur district to Visakhapatnam district, as the three north-coastal districts of Visakhapatnam, Vizianagaram and Srikakulam account for the bulk of crop production and the processing units. In a note submitted to the Union Minster of State for Mines, Mr T. Subbarami Reddy, here on May 25 and the Indian Council of Agricultural Research (ICAR) had suggested to the Acharya N.G Ranga Agricultural University (Hyderabad) to transfer the All-India Co-ordinated Research Project on Cashew from Bapatla to the north-coastal region, preferably Visakhapatnam.
Andhra Pradesh ranked first in cashew cultivation area, with 165,560 hectares. The area under cashew cultivation in the three north-coastal districts amounted to 74,979 hectares with a production 46,039 of million tonnes. There were 173 processing units in the three districts, with Srikakulam accounting for 160. So far the cashew research station at Bapatla had developed eight improved varieties and different agro techniques suited for soils in Guntur district. There is a need to develop better varieties suited to the red loamy soils and red sandy soils in the north-coastal districts.

Rubber Witnesses Steady Trend

Kottayam: Physical rubber prices closed steady on May 25. RSS 4 improved to Rs 92 a kg from 91.50 a kg at Kottayam. The grade closed unchanged at Rs 92 a kg at Kochi. The rubber futures turned weak on NMCE. The June contract declined to Rs 91.80 (92.41), July to Rs 93.15 (93.52), August to Rs 92 (92.65) and September to Rs 89.90 (90.45) per kg for RSS 4. The June contract for the grade declined to Rs 91.71(92.29) a kg on MCX. The open interest was 7,521 (7,439) tonnes with 3,884 (3,892) tonnes in June, 2,853 (2,791) tonnes in July, 660 (636) tonnes in August and 124 (120) tonnes in September. June futures for RSS 3 closed at 297.7 yen (Rs 99.56) against 297.4 yen a kg at TOCOM. Spot prices were (Rs/kg): RSS-4: 92 (91.50); RSS-5: 90.50 (90); ungraded: 89 (88.50); ISNR 20: 90.25 (90) and latex 60 per cent: 64.70 (64.70).

UPA Govt Extends Duty-Free Import On Pulses

New Delhi: The United Progressive Alliance (UPA) Government has extended the current duty-free regime on pulses imports till March 31, 2009. As part of measures taken by the Government to check increase in prices of essential commodities, zero duty on import of pulses has been further extended up to 31st March 2009. Prior to June last, pulses were importable at 10 per cent Customs duty. Following spiralling domestic prices, imports were made duty-free initially till March 31, 2007 and subsequently till July 31, 2007.

Darmona Estate Makes Record Price

Coonoor: Darmona Estate created history at the auctions of the Coonoor Tea Trade Association (CTTA) when a line of its CTC dust RD grade auctioned by J. Thomas & Co fetched Rs 102.50 a kg. This is the highest price fetched by any type of CTC teas in the auctions so far in 2007. Dhavala and Vigneshwar Estate came a distant second at Rs 85. Darmona Estate's price this week exceeded many lines of orthodox teas from the corporate sector, belying the general contention that the orthodox teas fetch higher prices than the CTC teas. Only four orthodox brands exceeded Darmona's CTC. Tiger Hill got the highest price of Rs 118 a kg, followed by Kodanaad, Curzon and Kairbetta at Rs 105. Despite the volume of 6.23 lakh kg being at an eight-week low, prices refused to rise on the average because the purchasers complained of mediocre quality in the offer. Brighter liquoring teas were dearer. Plainer teas eased by Rs 1-2 a kg.

Rubber Price Witnesses Mixed Trend

Kottayam: Rubber prices saw a mixed trend on May 24. Sheet rubber increased to Rs 91.50 and Rs 92 from Rs 91 and Rs 91.25 a kg respectively at Kottayam and Kochi. The rubber futures completed marginally better on NMCE. The near month June contract improved to Rs 92.50 (92.24) and July to Rs 93.50 (93.25), while the far month August contract slipped to Rs 92.62 (92.73) and September concluded almost steady at Rs 90.05 (89.97) per kg for RSS 4. The June contract weakened to Rs 91.90 (92) a kg on MCX. Spot prices were (Rs/kg): RSS-4: 91.50 (91); RSS-5: 90 (90); ungraded: 88.50 (88.50); ISNR 20: 90 (90) and latex 60 per cent: 64.70 (64.20).

Cardamom Price Increases On Good Demand

Kochi: Cardamom prices rose during the week on good demand at the auctions conducted in Kerala and Tamil Nadu. Arrivals at the auctions during the current season showed a decline of 1,198 tonnes to 7,923 tonnes as on May 23, while the sales declined by 1,241 tonnes to 7,277 tonnes from 8,518 tonnes. The weighted average price increased to Rs 312.70 from Rs 215.07 a kg. The substantial drop in supply coupled with reported good retail sales in the up-country markets appears to have pushed up demand.
Arrivals at May 23, auction held in Kumily by Cardamom Processing and Marketing Company (CPMC) stood at 56.5 tonnes and the entire quantity was sold out. The maximum price stood at Rs 527 a kg while the minimum was Rs 217 a kg. The average price was Rs 371.07. The 8 mm bold fetched Rs 450-Rs 475 while 7.5 mm and 7 mm were sold at Rs 425-Rs 450 and Rs 410-Rs 425 a kg respectively. The individual auction average price displayed swing during the week. Prices of the graded varieties as on May 19 were AGEB Rs 450-Rs 460, AGB Rs 390-Rs 400, AGS Rs 370-Rs 380 and AGS 1 Rs 325-Rs 335 a kg. The prices for these varieties in the local market Bodinayakannur were AGEB Rs 440-Rs 450, AGB Rs 370-Rs 380, AGS Rs 360-Rs 370 and AGS 1 Rs 300-Rs 320 a kg. Current bulk was fetching Rs 350-Rs 450 a kg.

Guar Up On Jodhpur Ban

Mumbai: Guar seed and guargum futures on the National Commodity and Derivatives Exchange may witness some upside on May 23 following suspension of some stocks in the Ncdex-accredited warehouse in Jodhpur. According to Ncdex, the International Securities Identification Numbers (ISIN) of guar stocks deposited in the warehouse of Total Logistics in Jodhpur have been suspended with immediate effect. No deliveries would be allowed from this warehouse before re-assaying of the goods is complete. The goods were damaged due to the recent fire in the warehouse. Though the exact quantity of stocks was not known, around 1,800-2,000 tonnes of guar stocks might have been deposited in the warehouses. This may trigger a short rally in guar futures on covering of some short positions built with an intention of delivery, Dinesh Bothra, a Jodhpur-based dealer said. At the close of trade May 21, Ncdex June guar seed was at Rs 1,756.50 per 100 kg, up Rs 24 from Saturday, while June guargum closed at Rs 4,454, up Rs 66.

Centre Looks To Increase In Sugar Buffer On High Output Cues

New Delhi: The government is mulling to create an additional sugar buffer stock of 3 million tones with the country's sugar production in the 2006-07 (October-September) season likely to cross 27 million tonnes against the earlier estimate of 26 million tonnes. This will be in addition to the 2 million tonnes buffer stock created in March. The sugar will physically remain with the companies. The purpose behind the buffer stock will be to transfer the cost of carrying the commodity from the companies to the government. At first when the government decided to create a 2-million tonne buffer stock in March, the official official estimate of sugar production for 2006-07 (October-September) season was only 22.7 million tonnes. However, with Maharashtra and Uttar Pradesh making an upward revision in sugar output estimates, a need to increase the buffer stock was felt. The country has already produced 25 million tonnes of sugar by April. The creation of a 5-million tonne buffer stock will provide some relief to sugar mills, which are incurring heavy losses owing to high production costs, said an executive of a leading sugar company. According to the international sugar organisation, the size of the projected global surplus in 2006-07 has increased to record 9.115 million tonnes against 7.2 million tonnes projected in February primarily due to bumper crops in Brazil and India. World sugar output has been revised upward by 2.418 million tonnes to a record 162.621 million tonnes.

Rubber Price Witnesses Up Trend

Kottayam: Physical rubber prices showed a better trend on May 23. Incoming monsoon, supply worries and firm global markets kept the covering groups and speculators rather aggressive during the session. Sheet rubber increased to Rs 91 and Rs 91.25 a kg from Rs 90.50 and Rs 91 a kg, respectively at Kottayam and Kochi. The last traded price for June was quoted at Rs 92.20 (91.48), July Rs 93.25 (92.60), August Rs 92.66 (92.09) and September contract at Rs 90.01 (90.05) per kg for RSS 4. The open interest stood at 7,357 (7,356) tonnes with 3,925 (4,078) tonnes in June, 2,699 (2,568) tonnes in July, 623 (621) tonnes in August and 110 (89) tonnes in September. The June contract for RSS 4 improved to Rs 92.09 a kg from Rs 91.17 a kg on MCX. The June futures for RSS 3 improved to 296.7 yen (Rs 98.90) from 293.5 yen a kg at TOCOM. Spot rubber prices were (Rs/kg): RSS-4: 91 (90.50); RSS-5: 90 (89.50); Ungraded: 88.50 (88.25); ISNR 20: 90 (89.25) and Latex 60 per cent: 64.20 (64.20).

Govt Decision To Bring Down The Retail Prices Of BT Cotton Likely To Affect The Acreage

Chandigarh: The government decision to bring down the retail prices of BT cotton to attract more farmers could discourage companies to develop and market improved varieties, which may affect the acreage also. According to the source, the acreage under Bt cotton in India has almost doubled between 2005 and 2006. In 2005, the total area covered under BT cotton was 23 lakh hectares, which touched 38 lakh hectares in 2006. This year, it is likely to touch 55 lakh hectares with small farmers contributing the bulk of produce. It is estimated that the total acreage under BT cotton in Punjab and Haryana would touch about 11 lakh hectares this year. In Punjab, the new Bollgard cotton technology has helped the revival of cotton in the state. In the past few years, many farmers in Punjab's Malwa belt have switched to other crops due to dwindling returns of cotton on account of low per acre productivity. But production again picked up in the past two years. At present, the high yielding variety of Bt cotton, Bollgard(I) cost about Rs 750 per packet (packet-450 gms) while Bollgard (II) cost Rs 925 per packet whereas conventional seeds costs Rs 400-450 per packet (one packet contains 450 gm of seeds sufficient for one acre).

Nutmeg Prices Likely To Slip

Kochi: As the production season is on the anvil, the nutmeg and mace market is likely to witness a bear phase, but market sources do not expect a steep fall in prices. The price of mace (red) is hovering at Rs 340-350 a kg, a drop by Rs 60 a kg when compared to the prices three weeks ago while the price of nutmeg (without shell) is currently quoted at Rs 170 a kg, down by Rs 30. Shelled nutmeg has quoted an almost steady rate at Rs 100 a kg. New crop is arriving at the terminal market, but the quantities are not big and is expected to pick up by the early weeks of June. A leading Kalady-based dealer said that harvesting would pick up once the monsoon becomes active and supply would increase further. Major dealers said that the price of mace might drop further by Rs 40 a kg but there will be strong resistance around Rs 300 as growers will prefer to stock-up rather than sell at lower prices. The anticipated increase in supply during June-July is the main factor for the current plummeting of prices. It is certain that lower prices will remain for the next few months since harvest will be in full swing.

Rubber Witnesses Steady Trend

Kottayam: Spot rubber closed almost firm on May 22. RSS 4 was quoted flat at Rs 90.50 and Rs 91 a kg, respectively at Kottayam and Kochi in a session ended with extremely dull volumes. The global trend-setter opened higher in the wake of gains in gold and oil futures but profit booking and bear selling brought the prices under pressure later. On National Multi Commodity Exchange, the June contract weakened to Rs 91.75 (91.94), July Rs 92.50 (93.89), August Rs 92.25 (93.47) and September to Rs 90 (91.29) per kg for RSS 4. The June contract declined to Rs 90.90 a kg from Rs 91.87 on MCX. The open interest was 7,356 (7,309) lots with 4,078 (4,124) lots in June, 2,568 (2,464) in July, 621 (632) in August and 89 (89) lots in September on NMCE. The volumes totalled 2,010 (1,938) tonnes. RSS 3 (spot) declined marginally by 5 paise to Rs 98.01 (98.06) a kg at Bangkok. The June futures for the grade closed at 293.5 yen (Rs 98.31) against 291.8 yen a kg at TOCOM. Spot rubber prices were (Rs/kg): RSS-4: 90.50 (90.50); RSS-5: 89.50 (89.50); Ungraded: 88.25 (88.50); ISNR 20: 89.25 (89) and Latex 60 per cent: 64.20 (64.20).

Orthodox Leaf Rules Firm At Coimbatore Auction

Coimbatore: Tea offerings amounted to 3.99 lakh kg at the weekly auction on May 25, with leaf grades comprising 1.49 lakh kg and the rest was dust.Medium grades ruled easier by a rupee to Rs 2. HLL remained quiet and internal demand was limited to whole leaf grades. Nominal weight of orthodox dust saw an easier trend with some withdrawals. Internal buyers and few exporters operated. The market remained firm for the medium/plainer bolder grades, while brokens and fannings witnessed a dearer market. Internal purchasers operated selectively. High priced CTC dust saw a steady market. Internal purchasers and packeteers operated actively and the major blender operated selectively on medium teas. Exporters operated on medium/plainer teas selectively. Orthodox highgrowns quoted in the Rs 58-82 price range, while the Nilgiris medium orthodox hovered in the Rs 55-58 price band. Best CTC dusts ranged between Rs 63 and Rs 70 a kg.

Kochi Tea Sale Witness Mixed Trend

Kochi: There were mixed trends at the Kochi tea auction, which had 9,65,000 kg of dust tea on offer. Best CTC varieties were barely firm at last week's levels. Good liquoring CTC varieties saw dearer market. Best CTC varieties were quoted at Rs 61-72, medium CTC at Rs 53-60, and below medium ruled at Rs 43-46. Highgrown BOPD fetched Rs 75-112, medium BOPD ranged between Rs 46-49 and secondaries ruled at Rs 41-44. Price of highgrown orthodox smaller broken varieties eased by Rs two to Rs four, bolder varieties remained irregular and medium orthodox broken varieties eased by Re one to Rs three. Best Nilgiri varieties fetched Rs 65-78, medium orthodox realised Rs 51-72 and plain orthodox Rs 43-50. Best CTC leaf fetched Rs 52-58 while medium CTC realised Rs 46-48. Kodanad BOPD fetched the top price in the dust segment at Rs 112, followed by Pasuparai SFD at Rs 79, Pasuparai SRD at Rs 77 and Payura RD at Rs 77.

SEA Likely To Receive EPC Status

Mumbai: The Solvent Extractors Association of India, a premier organisation for promoting export of oilseed extractions and oil meals, is likely to be given the status of Export Promotion Council (EPC). SEA's application for recognition as EPC is believed to have been processed and a decision taken. With this, the role of Indian Oilseed & Produce Exporters Association (IOPEA) will be confined to oilseeds and vegetable oils.

AP Govt to request Centre's help on MSP for paddy

Hyderabad: The Andhra Pradesh Government has decided to ask the Centre to enhance the minimum support price (MSP) for paddy by Rs 100 per quintal for the season like the recent support declared for wheat while extending the duration of paddy procurement. The Andhra Pradesh Chief Minister, Dr Y.S. Rajasekhara Reddy, will address a letter to the Prime Minister, Dr Manmohan Singh, on May 21, asking his support to increase the MSP mainly to offset the increased labour charges and input costs during the season.

The Centre had recently declared enhancement of Rs 100 per quintal for wheat, which had given a lot of relief for the farmers in the North and similar support to paddy would be timely for paddy cultivators. During the kharif season, paddy was cultivated in 22.17 lakh hectares, while it was 13.15 lakh hectares in rabi. Andhra Pradesh had become the granary of South due to wide spread paddy cultivation. The Chief Minister said the Government had taken several initiatives to offer better marketing opportunities for farm production. The Government had paid Rs 40 as bonus to every paddy grower wherein the Centre had fixed Rs 580 per quintal for the common variety.

Guarseed fundamental factors not in favour of price rise

Chennai: Fundamental factors for guarseed are not encouraging for any increase in prices, while an improvement in demand could give support to chana futures. A bearish undertone is likely to witness guarseed futures trade in ranges but no major decline is seen as the futures are already trading at very low level. With monsoon hoped to set in at least a week ahead of the schedule date of June 1, guarseed production is likely to be higher during the 2007-08 season starting July. On May 19, spot guarseed ruled at Rs 1,742.75 a quintal, while its June contracts were quoted at Rs 1,750.

Chana spot prices are hoped to fall in the medium term due to availability in Rajasthan and low demand. But if demand improves for chana dal, then millers could provide support to chana. During the weekend, Chana spot was quoted at Rs 2,190 a quintal, while June futures closed at Rs 2,271. In the edible oil complex, weak sentiments are hoped to prevail with imports casting pressure. Lower export of Malaysian palm oil is giving support to bears and the Centre's decision to keep the tariff value on edible oil imports was expected to keep a leash on the prices.

TNAU to convey meeting on sugarcane

Coimbatore: Fertiliser trials in fields to raise yield and intercropping are among the package of suggestions handed out to farm scientists engaged in sugarcane research at a meet in the Tamil Nadu Agricultural University (TNAU). The meeting, held early this week and presided over by the TNAU, was to consider the need to evolve an alternative technology for sugarcane crop, comprising revised fertiliser schedules, mechanisation, and less-expensive crop protection practices to make farming cost effective. Presently, farmers receive a production cost of Rs 85,000, out of the hoped gross income of Rs 1.10 lakh per hectare of sugarcane cultivated, making it an input-intensive crop.

Pepper Future Increases

Kochi: Pepper futures increase on May 18, in the absence of spot selling as no one was willing to part with their produce at the current price. Besides, there is said to be good demand for Indian pepper from non-traditional markets such as East European countries. Demand is also slowly coming in from the US. Indian prices still remain competitive at $4,000 a tonne (c&f) for Europe and $4,100 a tonne (c&f) to the US. In the international market, Vietnam was reportedly easier by $50 a tonne for 500 GL at $3,700 a tonne (f.o.b).
Vietnam has now realised its strength that it could control the world pepper prices being the major producer. May contract on NCDEX shot up by Rs 497 a quintal on May 18, to close at Rs 14,875 from Rs 14,378 on May 17. The total turnover on NCDEX declined by 10,263 tonnes to 28,605 tonnes while on NMCE it fell by 525 tonnes to 3,020 tonnes. The total open interest on NCDEX increased by 1,010 tonnes to 28,461 tonnes. May position fell by 122 tonnes to 1,822 tonnes while June and July increased by 703 tonnes and 413 tonnes respectively to 17,882 tonnes and 5,082 tonnes. On NMCE, the total open interest increased by 30 tonnes to 3,201 tonnes. June position declined by 46 tonnes to 2,496 tonnes while July position was at 366 tonnes up by 75 tonnes.

Rubber Witnesses Firm Trend

Kottayam: Spot rubber displayed a steady trend on May 17. RSS 4 ended at Rs 88 against Rs 87.50 a kg at Kottayam. The grade was static at Rs 88 a kg at Kochi resisting to decline in tune with domestic futures. On NMCE, the prices were moderately better early in the session but a panic profit booking hammered them to the negative territory towards mid session. The June contract declined to Rs 89.60 (90.22), July to Rs 91.60 (92.33) August to Rs 91.69 (92.44) and September contract to Rs 89.70 (90.39) per kg for RSS 4. The June contract weakened to Rs 89.42 from Rs 89.99 a kg on MCX. RSS 3 (spot) increased sharply by Rs 2.40 to Rs 96.95 a kg at Bangkok. Spot prices were (Rs/kg): RSS-4: 88 (87.50); RSS-5: 87 (86); ungraded: 86 (85); ISNR 20: 87 (86.25) and latex 60 per cent: 63.15 (63.15).

Pepper Futures Bounce

Kochi: Pepper futures market, which has been seeing high volatility due to alleged game plan by some cartels, on May 17, rebounded back even in the absence of spot sellers. The rates have been wildly fluctuating in the futures market without any reasons when the fundamentals are strong in the world market. Vietnam was reportedly offering 500 GL at $3,850 a tonne (fob) while 550 GL at $3,950 a tonne (fob) and white pepper at $5,450 a tonne (fob). Indonesia was firm. May contract on NCDEX increased by Rs340 a quintal on May 17, to close at Rs 14,400 from Rs 14,060 on May 16. The increase in other contracts was from Rs 258 to Rs 450 a quintal. On NMCE, May contract increased by Rs 353 a quintal to Rs 14,680 from Rs 14,337. The increase in other contracts was from Rs 312 to Rs 467 a quintal. The total turnover on NCDEX moved up by 5,068 tonne to 38,968 tonne while on NMCE it moved up by 192 tonne to 3,545 tonne. July increased by 369 tonne to 4,669 tonne. Spot rates also in tandem with the futures market trend moved up by Rs 200 a quintal to close at Rs 14,000 (un-garbled) and Rs 14,600 (MG 1) on May 17.

Rubber Price Surges By Tocom Gains

Kottayam: Rubber prices soared ahead led by the sharp gains in TOCOM. The Japanese trendsetter hit the upper circuit in all its distant contracts triggering a buying spree in the domestic scene. RSS 4 improved to Rs 87.50 and Rs 88 a kg from Rs 85.25 and Rs 85.50 respectively at Kottayam and Kochi. On NMCE, the rubber futures made a smart recovery quoting the June contract at Rs 90.27 (88.04), July at Rs 92.31 (90.01) and August at Rs 92.50 (90.49), while the September contract finished its debut session at Rs 90.11 a kg for RSS 4. The June contract settled higher at Rs 90.05 against Rs 88.02 a kg (223 lots) on MCX. The June futures for RSS 3 rose by the daily limit 10 Yen to 283.4 Yen (Rs 96.19) a kg at TOCOM. The grade's spot slipped by 7 paise to Rs 94.55 a kg at Bangkok. Physical prices were (Rs/kg): RSS-4: 87.50 (85.25); RSS-5: 86 (84.50); ungraded: 85 (83.25); ISNR 20: 86.25 (84) and latex 60 per cent: 63.15 (63.15).

Coonoor Tea Auctions To Witness Low Offers

Coonoor: The Coonoor Tea Trade Association (CTTA) will see low offers this week also, with the volume catalogued being the lowest of the last eight weeks. A volume of 6.23 lakh kgs has been catalogued for sale number 20 to take place on May 17 and May 18. Of the 6.23 lakh kgs, as much as 4.29 lakh kgs belong to leaf grades while 1.94 lakh kgs are dust grades. Again, as much as 5.59 lakh kgs are CTC variety, while only 0.64 lakh kgs, orthodox variety. The proportion of orthodox is low in both the leaf and dust category.

Edible Oil Imports Fall By 14%

Mumbai: The total imports of edible oil fell by 14% in April this year to 3,06,245 tonnes as compared with 3,54,284 tonnes in the same month last year, according to data compiled by the Solvent Extractors' Association of India. The edible oil imports also witnessed a marginal decline of 5 per cent to 1,707,316 tonnes during the first half of the current oil year Nov - Oct as against 1,801,441 tonnes in the same period last year. The non-edible oil imports too declined marginally by 1.5 per cent during the first six months of the current oil year at 291,798 tonnes, compared with 296,099 tonnes in the corresponding period. The fall in oil imports was largely attributed to better local crushing and supply during Nov'06 - Jan'07, thanks to rape-mustard sold by National Agriculture Cooperative Marketing Federation of India (NAFED) and better availability of cotton and ricebran oil during this period. The market sources also attribute the fall in imports to a reduction in stocks by about 2.5 lakh tonnes compared with last year, lesser arrivals of soybean oil vessels during April-May due to late extension of exemption to the import of GM soybean oil and the high price of edible oil affecting consumption. The price of RBD palmolein in the international market surged to $810 cif from $552 in November last year. Similarly, the prices of crude palm oil and degummed soybean oil went up to $770 and $777 from $525 and $684 respectively. The import of refined oil was at 40,050 tonnes (2 per cent of the total imports) during Nov - Apr, while crude oil imports were reported at 1,667,266 tonnes (98 per cent). The import of palm oil products (CPO, RBD palmolein, crude palmolein and crude palm kernel oil) during the first half of the current oil year was reported at 1,340,531 (1,022,985) tonnes, while that of soft oil was 366,785 (778,456) tonnes. The share of palm oil import has gone up to 79 per cent compared with 57 per cent during the same period last year. The import of non-edible oil during April 2007 stood at 49,918 tonnes compared with 40,578 tonnes in April 2006. The total import of non-edible oil during Nov - Apr is reported at 291,798 tonnes compared with 296,099 tonnes last year.

44 Tea Brands Sold At CTTA Fetch Higher Than Average Prices

Coonoor: A total of 44 tea brands sold at the auctions of the Coonoor Tea Trade Association (CTTA) in the first quarter of 2007 fetched at least Rs 5 more per kg than the auction average. Factories in the private small-scale sector, popularly known as bought-leaf factories, deliver these teas. The auction average during the period was Rs 47.78. Darmona Estate fetched the peak price of Rs 87.87.

IPC Price Index Up In April

Kochi: The International Pepper Community (IPC) Price Index for black and white pepper experienced a significant growth in April. The price index for black pepper increased almost 50 points to 219.87, while for white pepper, it increased over 23.0 points to 188.32. The factors that have driven the prices to higher levels could be the reported drop of 10 per cent in Vietnam output and the below normal production this year in Indonesia in addition to the decline in last year's production in almost all the origins, including India. Spot price for Malabar ungarbled increased to Rs 14,400 a quintal at the month's close from Rs 12,900 a quintal, while for MG1 spot price went up from Rs 13,625 to Rs 15,195. The international market was mainly influenced by development in Vietnam, where limited outflow from recent crops drove prices higher. At the month's close, local price increased again to a new level of VND53,000 a kg, up 12 per cent from previous level. F.o.b price for black pepper (550g/l) stayed at around $3,600 a tonne at the month's close, up 20 per cent from March. In Lampung, the market was quiet, as stocks had been exhausted. As a result, price in Lampung jumped significantly from IDR22,000 a kg at the beginning of the month to IDR30,000 a kg at the month's close. In Sri Lanka, the price at pepper growing areas increased from SLRs 258 a kg at the beginning of the month to SLRs 316 a kg at the month's close. In Brazil, it was reported that f.o.b. price for Brazilian Black was $3,850 a tonne, an increase of over 45 per cent from the previous month.
The tight stock situation in Bangka and Sarawak as well as slower crop outflow in Vietnam, being the region's primary source of white pepper, caused prices to move to higher levels. At Kuching, prices continued to steadily firm up. During April, local price increased from RM12,000 a tonne at the beginning of the month to close at RM13,320 a tonne at the month's end. In Vietnam, average price of white pepper were VND71,750 a kg (630g/l) for local purchase and $4,500 a tonne FOB, up from VND 58,650 a kg and $3,678 a tonne, respectively, in March.

Vanilco To Enter Into Global Market

Kochi: Vanilla India Producers Company (Vanilco) is all set to foray into the overseas market in a big way. The source said that the company has bagged an export order from Sri Lanka for its toilet soap that was launched recently. A consignment of 5,000 cartons of vanilla soap would be shipped to Lanka soon. The vanilla soap is in good demand in the European countries and Vanilco will soon associate with a Dutch company to market its products in Europe. Vanilco currently produces and markets 24 vanilla-based products across the country. The company recently introduced vanilla paste, a ready-to-use product mainly for the baking industry. The company launched the paste in 100 gm, 500 gm, 1 kg and 5 kg packets and it will reduce wastage when using vanilla in various food products. Jose added that the company had test-marketed the product in India and received good response from companies such as Amul. The product has a good demand in the European market and it will be exported to Europe soon.Meanwhile, Vanilla Total Extract, a specialised product of the company is also getting good orders from the European market.

Pepper Future Witnesses Uptrend

Kochi: Pepper futures market increased on May 14, on reports of upward trend in Vietnam. Prices of 500 GL in Vietnam said to have increased by $100 to $3,650 a tonne (f.o.b) on May 14. On NMCE, total open interest dipped by 1,492 tonnes to 3,498 tonnes. May position decline by 1,450 tonnes to 387 tonnes while June by 33 tonnes to 2,573 tonnes. Spot prices in tandem with the futures market trend increased by Rs 100 a quintal on Monday to close at Rs 14,300 (un-garbled) and Rs 14,900 (MG 1). NCDEX has revised the commodity level limit for pepper for members to 1,500 tonnes or 15 per cent of market wide O1, whichever is higher on a real time basis, while for clients it would be 500 tonnes.
May contract on NCDEX increased by Rs 35 a quintal on May 14, to close at Rs 14,950on last May 12. The increase in other contracts was from Rs 61 to Rs 179 a quintal. On NMCE, May contract increased by Rs 103 a quintal to close at Rs 14,699. The increase in other contracts except October was from Rs 13 to Rs 228 a quintal. The total turnover on NCDEX increased by 5,496 tonnes to 25,833 tonnes while on NMCE it went up by 1,068 tonnes to 2,830 tonnes.

Coimbatore Tea Auction Witnesses Better Price

Coimbatore: The total offerings of tea at the weekly auction held on May 11, stood at 3.97 lakh kg, of which leaf grades totaled for 1.53 lakh kg and dust grades accounting for the rest. The demand was fair and overall price levels generally better. The demand for the well made, larger orthodox leaf grades remained fair. CIS exporters offered fair support while HLL stayed away from the market. CTC dust witnessed fair demand. Internal purchasers and packeteers operated actively, while exporters operated in a limited way; blenders were absent.

Tea E-Auction System Introduction Likely By Fiscal-End

Kochi: Tea Board of India in a bid to launch e-auction in tea trade has named Mumbai-based NSEIT to re-design its e-auction system. The board's Consultants Evaluation Committee had short-listed five of the 20 consultancy firms that had submitted expression of interest. A pilot project would be launched after getting the re-designed system to enable stakeholders to give their feedback. At the same time, anonymity of the seller was not warranted due to the following reasons: brands/marks play an important economic function; tea is not a homogeneous product, as each garden offers a unique product, and this essentially requires the garden's identity to be revealed; gardens with established brand value will lose out besides making it cumbersome for purchasers to find out the quality of their purchase.
The Tea Board, had recently circulated a draft discussion paper on the new market design for e-auction. Upasi has suggested, inter alia, that a De-Mutualised Auction Body (DMAB) was needed to conduct tea auctions. DMAB is defined as one where owners do not automatically get trading rights by virtue of their ownership. Primarily, it meant good corporate governance practices whereby a clear distinction is maintained between the trading division and the division dealing with the ownership, so as to avoid conflict of interests.

Rubber Price Increases

Kottayam: Physical rubber prices improved on May 14. Though the international markets were not upbeat, comparatively firm Bangkok prices could have influenced the traders to set the trend. The futures market maintained the positive mood quoting the June contract at Rs 87.50 against Rs 86.96 a kg on MCX. On NMCE, the delivery month May completed slightly weak at Rs 85.01 (85.14), while the near month June contract inched up to Rs 87.38 (87.29), July to Rs 89.50 (89.16) and August to Rs 89.90 (89.69) per kg for RSS 4. The open interest declined to 7,424 (9,442) tonnes, with 1,310 (3,384) tonnes in May, 3,812 (3,812) tonnes in June, 1,795 (1,746) tonnes in July and 507 (500) tonnes in August. The June futures for RSS 3 closed at 273.5 Yen (Rs 93.08) from 273.4 Yen a kg at TOCOM. The grade improved to Rs 95.35 from Rs 94.52 a kg at Bangkok.

Asta Grade Pepper Rules High

Kochi: Tight supply position, as it appears, remains to prevail in the world market and as a consequence the prices of Asta grade pepper in all the origins still ruled higher. Though Vietnam has reduced its prices for FAQ 500 GL to $3,550 a tonne (fob) it has been offering V Asta at $4,300 a tonne (fob). Indonesia, where harvesting would take place some time late July/early August, was offering L Asta at $4,250-$4,300 a tonne (fob) while Brazil was offering Asta grade at $3,900-$3,950 a tonne (fob). In India July/August/September are at high prices and hence buying spot and selling futures appears to be a profitable proposition. The prices in the futures market on May 12, increased on reports tight supply position world over. May contract on NCDEX increased by Rs 111 a quintal to close at Rs 14,875 from Rs 14,764 on May 11. The increase in other contracts was from Rs 13 to Rs 152 a quintal. On NMCE May contract moved up by Rs 131 a quintal to close at Rs 14,550 from Rs 14,419. The total turnover on NCDEX declined by 7 tonnes to 20,347 tonnes while on NMCE it fell by 956 tonnes to 1,762 tonnes. The total open interest on NCDEX declined by 322 tonnes to 29,296 tonnes. May position fell by 567 tonnes to 3,373 tonnes. June position moved up by 280 tonnes to 18,858 tonnes.

Pawar Likely To Announce More Sops For Sugar Firms

The government will consider more incentives to rescue the sugar industry that is currently facing a tough time owing to dwindling prices amid an expected record output of about 265 lakh tonnes in the 2006-07 season. Agriculture and Food Minister Sharad Pawar said that the government has announced export subsidy and to create a buffer stock of 20 lakh tonnes of sugar. The country would have a stock of 300 lakh tonnes in 2006-07 against an annual demand of 190 lakh tonnes, Pawar said, adding prices were bound to be affected if availability was so high. Sugar season runs from October to September.

Rubber Prices Unaltered

Kottayam: The domestic rubber prices closed almost unchanged on May 11. On the physical front, sheet rubber closed slightly weak at Rs 84 against Rs 84.25 and Rs 84.50 a kg respectively at Kottayam and Kochi. The rubber futures also managed to complete in a firm tone after the initial declines on NMCE. The May contract downed the shutters at Rs 84.36 (84.30), June at Rs 86.98 (86.97), July at Rs 88.95 (88.72) and August at Rs 89.40 (89.30) per kg for RSS 4. The June contract for RSS 4 was quoted at Rs 86.75 (86.62) a kg on MCX. Spot rates were (Rs/kg): RSS-4: 84 (84.25); RSS-5: 83 (83); ungraded: 82 (82); ISNR 20: 82.75 (83.25) and Latex 60%: 62.60 (63.15).

Tea Prices Witnesses Moderate Fall At Kochi

Kochi: There was a moderate decline in tea prices at the Kochi auction, which had 991,000 kg of dust tea on offer. High-priced CTC varieties eased by Rs 2-4, while medium CTC varieties eased by Re 1-Rs 2. Best CTC varieties ranged between Rs 63 and Rs 74, medium CTC was at Rs 55-62 and below medium was quoted at Rs 45-48. Best CTC leaf was quoted at Rs 52-57, while medium CTC ranged at Rs 46-49. Kodanad BOPD fetched the top price in the dust segment at Rs 113, followed by Pasuparai FD at Rs 85, Pasuparai SFD at Rs 82 and Pasuparai SRD at Rs 82. In the leaf segment, Chamraj FOP quoted the top price at Rs 121, followed by Chamraj OP at Rs 120, Havukal OP at Rs 115 and Havukal FOP at Rs 110.

Pepper Futures Down

Kochi: Pepper futures market on May 10, fell on reported easing of prices in Vietnam by $50-100 a tonne. Brazil also said to have reduced its prices in line with the Vietnamese trend. Indian Asta grade on Thursday was at $3,975 a tonne (c&f) for US, while for Europe it was at $3,900 a tonne (c&f). May contract on NCDEX declined by Rs 227 a quintal on Thursday to close at Rs 14,772 from Rs 14,999 on May 9. The drop in other contracts was from Rs 251 to Rs 438 a quintal. On NMCE May contract dropped by Rs 322 a quintal to close at Rs 14,350 from Rs 14,672. The total turnover on NCDEX declined by 16,334 tonnes to 26,268 tonnes, while on NMCE it declined by 1,383 tonnes to 3,287 tonnes. The total open interest on NCDEX moved up by 670 tonnes to 30,163 tonnes. May position dropped by 279 tonnes, while June and July increased by 750 tonnes and 212 tonnes respectively to 18,781tonnes and 3,647 tonnes. May position was at 1,882 tonnes, while June increased by 124 tonnes to 2,475 tonnes. Spot prices ruled steady on May 10, at previous levels of Rs 14,100 (un-garbled) and Rs 14,700 (MG 1) a quintal.

Coonoor Faces Lower Tea Volume

Coonoor: The declining trend in the arrival of crop for the auctions of the Coonoor Tea Trade Association (CTTA) maintains this week with the catalogue showing low listings. In all, only 6.47 lakh kg have been catalogued for the sale to take place on May 10 and May 11. In the corresponding sale of last year, a higher volume of 11.33 lakh kg had been offered. Of the 6.47 lakh kg on offer, as much as 4.49 lakh kg belong to the leaf category and only 1.98 lakh kg is dust category. Again, as much as 5.69 lakh kg belong to the CTC variety and only 0.78 lakh kg, orthodox variety. In the leaf, only 0.32 lakh kg belong to orthodox, while 4.17 lakh kg is CTC. In the dust category, only 0.46 lakh kg belong to orthodox while 1.52 lakh kg is CTC. The low volume can bring about a rise in price if the demand increases proportionately.

Efforts On To Lower Domestic Rubber Prices

Kochi: Imports of natural rubber into the country have shown increase during the months when the domestic price was lower than that of the international price. Total imports in 2006-07 were almost double at 89,535 tonnes from 45,285 tonnes the previous fiscal. Out of the total imports of 89,535 tonnes of rubber, 55,188 tonnes were during December 2006-March 2007. In February when Indian price for RSS IV was ruling at 97.57 a kg against the Malaysian price of Rs 106.05, 17,736 tonnes of natural rubber were imported. Similarly, in March the Indian price was lower by over Rs 10 a kg and yet the country imported 15,059 tonnes. The industry should help the growers by purchasing from them at the prevailing international price as it would in turn help the economy to grow. Total production of natural rubber in 2006-07 was projected at 8.31 lakh tonnes compared with 8.02 lakh tonnes during the previous fiscal. There was an estimated carryover stock of 83,000 tonnes. Consumption last fiscal was estimated at 8.41 lakh tonnes while the exports at 50,000 tonnes.

Pepper Futures Gain On Buying Support

Kochi: After falling continuously over the past few days, pepper futures increased on May 9, on overseas purchasing support. Some exporters have sold to the US at $3,975 a tonne (c&f) while about 500 tonnes of MG 1 was also sold at $4,025 a tonne (c&f). Vietnam prices were at FAQ 500 GL at $3,750 a tonne (f.o.b) and 550 GL at $3,900 a tonne (f.o.b). Meanwhile, Indonesian parity continued to rule high due to strong rupiah against dollar at $4,300-4,400 a tonne (f.o.b) for Lampung Asta. May contract on NCDEX moved up by Rs 144 a quintal on Wednesday to close at Rs 14,990 from Rs 14,846 on Tuesday. The increase in other contracts was from Rs 81 to Rs 166 a quintal.
On NMCE, May contract increased by Rs 383 a quintal to close at Rs 14,730 from Rs 14,347. September contract fell by Rs 97 a quintal to Rs 16,060. Spot prices ruled firm at previous levels of Rs 14,100 (un-garbled) and Rs 14,700 (MG 1) a quintal on May 9. The total turnover on NCDEX dipped by 1,516 tonnes to 42,602 tonnes, while on NMCE it increased by 522 tonnes to 4,670 tonnes. The total open interest on NCDEX fell by 982 tonnes to 29,493 tonnes. July fell by 12 tonnes to 3,435 tonnes. On NMCE total open interest moved up by 228 tonnes to 4,801 tonnes.

Tea Board Aims 210 Mkg Export

Kolkata: The aim for the current year's tea exports has been set at 210 million kg (mkg). Last year, India exported 203 mkg of teas, against the aim of 200 mkg. The current year's thrust markets, according Tea Board, will be Egypt, Pakistan and Iran. Last year, exports to Egypt were 2.7 mkg, likely to be anything between six to 10 mkg this year. They not setting any target for exports to Pakistan but in medium to long term, the shipments to Pakistan should rise to 20 to 25 mkg. The recent visit of the Indian tea delegation has been encouraging. Many tea traders in Pakistan were keen to participate in the International Tea Convention to be held in Guwahati in November. There was a proposal to have India Tea Trade Centre in Pakistan on the line of the centre being planned in Egypt. Tea exports to Iran last year were of the order of five mkg, likely to rise by another 2.5 to three mkg this year. The Indian exporters had problems in getting payments for their shipments.

JADE Unveiling Crude Palm Oil Futures

Mumbai: The Singapore-based Joint Asian Derivatives Exchange (JADE) will unveil its crude palm oil (CPO) futures contract on June 6. When unveiled, JADE's CPO futures will compete with Bursa Malaysia's CPO contracts. This contract is a result of market feedback and research involving global participants in the physical crude palm oil market. Its design will meet the growing international demand for risk management tools for crude palm oil from producers, processors and the emerging bio-fuel industry.
Oil palm plantation companies, especially in Indonesia, would actively participate, to hedge their price risks. The contract, denominated in dollars, will be settled with physical delivery at the ports of Belawan and Dumai, Indonesia. As part of the unveil promotions, the exchange will be providing clearing fee rebates until August 31.

Wheat Procurement Reaches 88 Lakh Tonnes

New Delhi: Wheat procurement by the Food Corporation of India (FCI) and State agencies has crossed 88.16 lakh tonnes (lt) during the current 2007-08 rabi marketing season (April-June) as per the latest compiled information till May 7. This is still below the 91.15 lt bought by Government agencies during the corresponding period of the 2006-07 season.
At the current rate, it is unlikely that the Centre's targeted wheat purchases of 151 lt for the entire season will be met. The general expectation now is that official procurement would end up at around 70 lt in Punjab and 30 lt in Haryana, with all other States put together contributing 5-10 lt. However, since the current season has began with opening stocks of 47 lt against last time's 20 lt - there will be a total availability of 150 lt plus in the Central pool, which can more than meet an average monthly wheat offtake of 10 lt.

Tea Board Receives 233 Applications For Special Tea Fund

Kolkata: The Tea Board got 233 applications till April 30 seeking assistance under the newly-launched Special Purpose Tea Fund (SPTF). There was a long queue in our office till late in the evening on the April 30 to submit the applications, and they are hoping many more applications. Over 500 gardens belonging to more than 300 tea companies have expressed their interest in the scheme. The April 30 deadline was set for those planning re-plantation and greening in June. The scheme has been liberalised in the sense that an applications can now be submitted, even to the nearest field office of Tea Board, 75 days before the commencement of the filed activity for which financial assistance will be sought. The applications are being scrutinised and it is possible that not all of them will be eligible for loans. The actual loan disbursement will depend on the appraisals by the SBI Capital Markets. It might be noted that the loan requirement for 2007 has been estimated at Rs 167.56 crore and subsidy at Rs 89.64 crore. A total of 2.12 hectares, covering gardens which are very old and therefore, in urgent need of re-plantation and rejuvenation, are targeted under SPTF.

Rubber Witnesses Steady Trend

Kottayam: Spot rubber ruled firm in the weekend session. The market activities were in a low key and sheet rubber closed flat at Rs 84.75 and Rs 85 a kg respectively at Kottayam and Kochi. The rubber futures finished weak on May 5. The May contract on NMCE declined to Rs 85.50 (85.80), June to Rs 88 (88.51), July to Rs 90.10 (90.37) and August to Rs 91 (91.31) per kg for RSS 4. The June contract for the grade ended at Rs 88.25 against Rs 88.04 a kg on MCX. The open interest stood at 10,286 (10,219) tonnes with 4,693 (4,719) tonnes in May, 3,526 (3,458) tonnes in June, 1,610 (1,587) tonnes in July and 457 (455) tonnes in August. Spot rates were (Rs/kg): RSS-4: 84.75 (84.75); RSS-5: 83.75 (83.75); Ungraded: 82 (82); ISNR 20: 83.50 (83.50) and Latex 60 per cent: 63.15 (63.15).

Pepper Mkt Witnesses Tight Situation

Kochi: Pepper futures saw high variations last week on highly speculative activities based on the trend in Vietnam. Reluctance on the part of Vietnamese sellers seems to have compelled the purchasers, world over to cover from where ever the material is available and it appears to have created some selling pressure in Vietnam. While MLSV Asta May/June at $4,190 a tonne. MLSVB Asta recently traded at around $4,190 a tonne (c&f). Purchasers in New York said to have covered spot white pepper at $5,300 a tonne, while the prices at origins were at higher levels. Indonesia beganselling its new crop at higher premium in line with the current levels.
At the same time, a steep increase in white pepper could encourage Vietnam to convert more heavy pepper to white and thus decreasing the availability of black pepper there. Indian pepper is currently competitive and overseas purchasers are said to be showing interest to cover from here. Compared to the previous weekend close, domestic futures prices last week showed a substantial increase. On NCDEX, all contracts increased by Rs 482 to Rs 633 a quintal, while on NMCE the increase was from Rs 399 to Rs 853 a quintal. On NCDEX, the total turnover dropped by 7,845 tonnes to 2,59,842 tonnes, while on NMCE it moved up by 1,699 tonnes to 25,788 tonnes.

Coonoor Tea Auction To Witness Low Volume Offer

Coonoor: A low volume of 7.39 lakh kgs has been catalogued for Sale No: 18 of the Coonoor Tea Trade Association (CTTA) here this week. This is marginally higher than the volume of 7.17 lakh kgs offered last week. In the corresponding sale of last year, as much as 10.87 lakh kgs had been offered. Of the 7.39 lakh kgs, as much as 5.14 lakh kgs belong to the leaf grades and only 2.25 lakh kgs dust grade. Again, as much as 6.70 lakh kgs belong to the CTC variety and only 0.69 lakh kgs, orthodox variety. In the leaf category, only 0.34 lakh kgs belong to the orthodox while 4.80 lakh kgs belong to the CTC variety. In the dust category, only 0.35 lakh kgs belong to the orthodox variety and only 6.70 lakh kgs belong to the CTC variety.

Pepper Futures Decline On Correction

Kochi: Pepper futures market on May 3, ruled steady to slightly easier which is seen as a correction. All the other origins also appear to be stabilising at the current levels and hence some amount of trade is expected to take place in the coming days. Vietnam was offering 550 GL at $4,000 a tonne (fob). Thus, Indian pepper is at competitive levels. May contract on NCDEX dropped by Rs 345 a quintal to close at Rs 15,583 on May 3, from Rs 19,928 on May 2. The decline in other contracts was from Rs 359 to Rs 410 a quintal. The decline in other contracts except July and September was from Rs 76 to Rs 433 a quintal. July and September moved up by Rs 4 and Rs 102 respectively.
The total turnover on NCDEX increased by 4,259 tonnes to 59,105 tonnes, while on NMCE it went up by 1,662 tonnes to 6,253 tonnes. The total open interest on NCDEX moved up by 91 tonnes to 29,200 tonnes. May position declined by 592 tonnes to 7,428 tonnes. In tandem with the trend in the futures market spot prices dropped by Rs 200 a quintal to close at Rs 14,300 (un-garbled) and Rs 14,900 (MG 1) on May 2.

TN Sugarcane Growers Asked To Decrease Planting Area

Coimbatore: Sugarcane growers in Tamil Nadu have been urged to decrease their planting area for the ensuing season by the Tamil Nadu Agricultural University's domestic and export market intelligence cell (DEMIC) in view of difficulties faced by the sugar industry across the country due to the cyclical yield/production increases and slower demand. The DEMIC, basing its study on the evolving sugarcane/sugar productions scenario in the country, noted that due to better yield and excess production of sugarcane, the sugar mills in the State currently faced problems in milling and, therefore, they are unable to execute in time the sugarcane cutting from the farmers' fields. The delay in securing cane-cutting orders made the farmers to lose cane, sugar yields, thereby a lower value realisation for every unit of sugarcane cultivated, though the price remained constant.
To mitigate the situation, the DEMIC advised the sugar mills take up modernisation. But at the same time, the Union Government should consider permitting sugar mills to produce ethanol directly from sugarcane, instead of insisting on them to go through the molasses route. The TNAU study also suggested that the Government offer better prices for ethanol which will benefit the entire sugar-chain, namely the farmers, the processing mills, the environment and the State's economy.

Rubber Witnesses Up Trend

Kottayam: The rubber market improved on May 2. On the physical front, prices apprehended as covering groups turned active after a gap expecting at least a short-term recovery in prices. RSS 4 improved to Rs 84 and Rs 84.50 a kg from Rs 83 and Rs 83.50 a kg respectively at Kottayam and Kochi. The rubber futures made moderate gains catalysed by the better trend in international indices. Purchasing mood in the domestic spot market kept the counters more active. On NMCE, the May contract improved to Rs 85.70 (82.14), June to Rs 88.30 (84.32), July to Rs 90.35 (86.44) and August contract to Rs 91 (87.32) per kg for RSS 4. Spot rubber rates were (Rs/kg): RSS-4: 84 (83); RSS-5: 83 (82); ungraded: 81.50 (81); ISNR 20: 82.50 (81.75) and latex 60 per cent: 63.15 (62.60).

Mangalore-Based Company To Mkt Organic Cashew In EU

Mangalore: The Netherlands-based CBI (Centre for the promotion of imports from developing countries) has choosed Achal Industries, the cashew manufacturer and exporter from Mangalore, for a four-year programme on marketing of organic cashews and development of cashew as an ingredient, in European Union. Established in 1971. The programme was meant for producers and exporters who are eager to expand their export activities in the EU. The exporter can get consultancy from the governmental agency in Europe, which, otherwise is not accessible. The programme helps in understanding the entire working of the European market, which has a huge potential to be explored. The company has worked with ice cream and sweet manufacturers, liquor, and food manufacturers in various applications.
Under the programme, the company mulls to carry this experience into Europe and there are prospects of introducing cashews in breakfast cereals, cookies, confectionary, chocolates, snack bars and the like. Experience gained in the programme will also be shared with other manufacturers in the Cashew Export Promotion Council of India (CEPCI) for meeting the Vision 2020 goals. The company wanted to double its turnover in the next four years with this exposure. Achal is a pioneer in organic cashews as well as the first ISO 22000 certified cashew industry in the world. Achal has a good marketing base in Europe with Catz International BV, Rotterdam, for convenience to cater to all possible European markets.

Sri Lanka Tea Production Decline

Coonoor: Sri Lankan tea output in the first quarter of the current calendar has come down 14 million kg over the same period of last year. According to the Sri Lanka Tea Board, between January and March, a total volume of 63.8 million kg was produced against 77.5 million kg in the same months of 2006. Of the 14 million kg loss, as much as 13 million kg was accounted for by orthodox teas. The output of this variety declined to 58.9 million kg from 71.9 million kg. CTC tea out put down marginally to 4.2 million kg from 4.6 million kg. Green tea output dipped to 0.61 million kg from 0.97 million kg.

CTC, Dust Tea Witnesses Good Demand At Kolkata

Kolkata: There was good demand for CTC and dust offerings at the Guwahati, Siliguri and Kolkata auctions last week. The rates varied depending on the quality. Good Assam brokens were offered at Rs 92-106 per kg while good Dooars fetched Rs 90-100. The medium categories ranged between Rs 70 and Rs 80 per kg. Orthodox teas sold readily, with good Assam whole leaf attracting Rs 110-130 while brokens fetched Rs 90-105. In Colombo, the Sri Lankan market maintained to be buoyant with all categories being dearer. The purchasers for Iran dominated the market despite competition from those from West Asian and CIS countries. Reports have been received about exporters in Sri Lanka facing shortage of space in Europe-bound container ships following the diversion of some routes to India by certain shipping lines. Production for March declined 16.15 per cent in Sri Lanka. The Mombasa market ruled firm to dearer for the better categories despite improved crop situation.

Coonoor Tea Sales Posts 2% Growth In Q1 Of 2007

Coonoor: The turnover at the auctions of the Coonoor Tea Trade Association (CTTA) has reported an increase of two per cent in the first quarter of 2007 over the same period of last calendar. A market reports reveals that between January and March, the volume sold was lower, but the price fetched was higher. The aggregate volume of all the 13 auctions held in the first quarter was 7.17 million kgs against 7.34 in the same period of 2006. But the lower supplies helped the prices to increase. Prices averaged Rs 49.21 a kg against Rs 47.08 last year. The turnover increased in respect of both the orthodox and CTC teas. In all, 6.49 lakh kgs were sold against 5.76 lakh kgs last year.
The higher volume was purchased at higher prices. Prices averaged Rs 61.13 a kg against Rs 54.35. Consequently, the value of the orthodox teas sold increased to Rs 3.97 crore from Rs 3.13 crore. The value of the CTC teas was far higher. The average price increased to Rs 48.02 a kg from Rs 46.46 last year. Consequently, the value of the CTC teas sold via the auctions rose to Rs 31.3 crore from Rs 31.43 crore. At present, the lower end of the market rules in the range of Rs 39 to 41 a kg. The year began with the prices averaging Rs 48.13 a kg - some Rs 4 kg more than last year. Now, they are averaging Rs 47.70 a kg - some Rs 1.25 more than last year.