Mentha oil falls on profit taking

Mentha oil prices fell by Rs 29 to Rs 1,045.50 per kg in futures trade today, as traders indulged in profit-booking, driven by subdued demand in the spot market.

Trend remained weak for mentha oil, as increased arrivals amidst low demand in the spot markets kept the prices lower.

At the Multi Commodity Exchange platform, mentha oil for delivery in December-month contract declined by Rs 29 or 2.70 per cent, to Rs 1,045.50 per kg, with a business volume of 1,355 lots.

Similarly, the delivery in January contract fell by Rs 28.40, or 2.60 per cent to Rs 1,062.10 per kg, with a business turnover of 408 lots, while February-month contract dropped by Rs 26.50, or 2.41 per cent to Rs 1,071.10 per kg, with a business turnover of 112 lots. 

The fall in mentha oil prices was mostly due to profit-booking by speculators and weak trend at spot market on subdued demand, traders said.

They said increased arrivals amidst low demand in the spot markets kept sentiment weak for the mentha oil prices in futures trade.