Futures spoiled the calculation of turmeric: Slowdown in prices

28-Aug-2024 06:38 PM

New Delhi. The falling prices of turmeric are not stopping. The prices are falling day by day. All the traders dealing in turmeric are worried about this slowdown. No one had even thought that there would be such a huge fall in turmeric in a short period. At present, the market of turmeric is completely dependent on the futures market. If the prices in futures fall, then the spot market also falls. If the prices in futures rise, then the prices in spot also rise. The futures market has badly affected the spot market. Despite the falling prices, there is no buyer of turmeric in the spot markets.

Market Slowdown

During the current month, spot prices of turmeric have fallen by 20/25 rupees. The main reason for the slowdown is believed to be the falling exports and more sowing at the production centers. After more sowing, the weather at the production centers is also favorable for the crop. Due to which the coming crop is likely to be more than last year, provided the weather remains favorable for the crop in the coming days as well. There is a bearish circuit in the futures market today as well.

Exports down

There has been a decline in the export of turmeric in the first three months of the current financial year 2024-25. According to the information received, during April-June-2024, the export of turmeric was 46498 tonnes. Whereas in April-June 2023, the export was 57775 tonnes.

The slowdown should stop

I Grain India believes that now the falling prices of turmeric should stop because the prices have come down a lot. Currently, the stock is also low in the markets of the producing centers. While the new crop will come in January-February-2025. Therefore, before the new crop arrives, there are estimates of a rise in the prices of turmeric once again.