Jeera prices experienced a notable decline of -3.07% on the previous day, settling at 56365, primarily due to profit booking. The sluggish export demand played a role in this drop, with global buyers showing a preference for alternative sources like Syria and Turkey because of the comparatively higher prices in India.
However, the downside in prices remained limited as the supply of quality crops was constrained. Indian jeera continued to be competitive in the global market, even though this didn't favor exporters, leading to subdued overseas demand. China, a significant buyer of Indian jeera, reduced its purchases in recent months, impacting India's overall exports. Furthermore, the uncertainty in the market was heightened by the possibility of China resuming purchases in October-November before the arrival of the new cumin crop. Export data for Apr-Aug 2023 showed a significant drop of 23.76% compared to the same period in 2022. Jeera exports in August 2023 were 2.61% lower than the previous month and a substantial 66.98% lower than August 2022. In the major spot market of Unjha, jeera prices closed at 58153.05 Rupees, down by -0.5%.
From a technical perspective, the market witnessed fresh selling, marked by a 1.67% increase in open interest to reach 4371. The price decline amounted to -1785 Rupees. Support levels for jeera were identified at 55700, with potential for a test of 55020, while resistance was anticipated at 57580, which, if breached, could drive prices to test 58780
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