Mentha oil trades flat in morning deals

Mentha oil traded almost flat with a positive bias in morning trade on Wednesday. On MCX, price of the commodity rose 0.06 per cent to Rs 1,788.90 at around 11.30 am (IST).

Heavy rains have battered most parts of Uttar Pradesh over last 12-13 days, leading to flooding of many regions. The fall in arrivals, along with a pickup in demand from stockists and bulk consumers, mainly led to an uptick in mentha oil prices in the recent past.

Prices of mentha oil have already rallied nearly 2 per cent in the spot market in last five days.


“Technically, the trend still looks positive for mentha oil. We expect prices to pick up momentum on lower supports of Rs 1,770 – 1,780. On the upper side, as previous swing high at 1,770 is taken out, we see the next resistance at over Rs 1,900 levels. That is our medium-term view. On a short-term scale, price can test Rs 1,840-1,830 in this week. We recommend buying on dips. Fundamentally, long positions remained intact given the rainfall that has hit Uttar Pradesh and Chandausi being the major belt for mentha, prices may remain firm,” Mustafa Nadeem, CEO, Epic Research.