Muted demand drags cardamom down by 1.49%

Participants trim positions as weak trend in spot market leads to accumulation of stocks

Cardamom prices drifted 1.49 per cent to Rs 716.30 per kg in futures trade today as participants trimmed their positions, tracking a weak trend at the spot market on easing demand.

Besides, adequate stocks position on higher supplies from producing regions put pressure on cardamom prices.

At the Multi Commodity Exchange, cardamom for delivery in January fell by Rs 10.80, or 1.49 per cent, to Rs 716.30 per kg in a business turnover of 80 lots.

The December contract traded lower by Rs 8, or 1.22 per cent, to Rs 645.80 per kg in 19 lots.

Analysts said offloading of positions by traders, driven by a fall in demand in the spot market against adequate stocks position, mainly led to the decline in cardamom prices at futures trade.