Turmeric futures climb 3.87 pc on poor sowing

NEW DELHI: Continuing its rising streak, turmeric prices went up by a whopping 3.87 per cent to Rs 6,330 per quintal in futures trade today as participants indulged in creating speculative positions amid reports of slow progress of sowing due to deficient rains.

At the National Commodity and Derivatives Exchange, turmeric for delivery in September traded Rs 236, or 3.87 per cent, higher at Rs 6,330 per quintal, with an open interest of 11,215 lots.

Likewise, the spice for delivery in August traded Rs 220, or 3.71 per cent, higher at Rs 6,144 per quintal, with an open interest of 18,095 lots.

Analysts said the persistent rise in turmeric futures was mostly due to speculative positions created by participants, driven by reports of slow progress of sowing following lower monsoon rains in key growing regions.

Besides, strong overseas demand also influenced turmeric prices at futures trade, they said.

Meanwhile, the total area under cultivation in India, the world's biggest producer and exporter of the yellow spice, is likely to fall 30 per cent this season.

Turmeric is planted between June and August.