Mentha oil steady

COMMODITY SPIKES

Mentha oil futures slipped by over 1.5 per cent last week. Commodity experts said the market was expected to trade sideways. The overall market trend is more or less in a dull mood. Arrival is steady and so is the offtake. There are no supply constraints and no drastic demand for the commodity.

Due to good crop output this year, the market has been going through a bearish phase ever since the harvest began in May. Market sources said the mentha futures would remain steady and might gradually consolidate at around Rs 500 a kg level.

At present, arrival in Uttar Pradesh mandis, including in Sambhal, Barabanki and Chaundausi, is to the tune of 200-250 drums (each of 180 kg). Sources added that the market could scale up once winter sets in as during this period, demand, especially from the pharmaceutical industry, goes up.

On the National Commodity and Derivatives Exchange, the October contract closed on Friday at Rs 526 a kg against the previous week's close of Rs 535 a kg.