Cumin seed rates pick up from lows at Mumbai mart

Prices of cumin seeds recovered Rs 50 per 20 kg after an initial loss of Rs 100 (per 20 kg) in the start of the month at the Agriculture Produce Marketing Committee (APMC) market, Vashi, despite huge opening stocks and fresh arrivals.

The new low variety of cumin is selling in the range of Rs 1,100-1,300 per 20 kg versus a range of Rs 1,000-1,200 for the old variety. At APMC, while the new variety is currently quoting anywhere between Rs 55 and Rs 65 a kg, the old variety is selling in the range of Rs 50-60.

This season, total cumin production is expected to touch 20-22 lakh bags (1 bag = 55 kg), higher than 16-17 lakh bags last year. With the opening stock for the season at 6-7 lakh bags, the availability mounts to around 28 lakh bags this year.

The price movement in the coming weeks will depend upon weather condition in the major cumin-producing states such as Gujarat and Rajasthan. Generally, these states receive some rainfalls during this season, which hit cumin harvest.

"Chances for spoilage are acute if it rains in the last seven days and the prices may go up," said Mahendra Shah, partner, Narottamdas Harvallabhdas, APMC.

India, a net exporter of cumin, has been exporting the seed in huge quantity to developed and developing nations.

Prices of cumin futures on various exchanges were a mixed bag "" rising on the National Commodity and Derivatives Exchange (NCDEX), while declining on the Multi Commodity Exchange of India (MCX).

On NCDEX, cumin price for the February contract jumped to Rs 5,841.30 a quintal on Tuesday from Rs 5,772 on Monday, while the March and the April contracts closed the day at Rs 6,083 a quintal (Rs 6,013.80) and Rs 6,278 a quintal (Rs 6,201.40) respectively.

These compare with the February, the March and the April contracts prices on February 1 at Rs 5706.70, Rs 5946.30 and Rs 6141.70 a quintal, respectively.

The February contract on MCX slumped to Rs 6,011 a quintal (Rs 6,044) while the March and the April contracts fell to Rs 6,066 a quintal (Rs 6,108) and Rs 6,219 a quintal (Rs 6,276), respectively. These compare with the contracts on February 1 at Rs 6,110, Rs 6,227 and Rs 6,433 a quintal, respectively.

Indian cumin with its attractive and tasty flavour was one of the forerunners in the exports market. But, countries like Turkey, Iran and Syria are posing stiff competition to local traders.