Pepper future declines

Kochi: Pepper futures market fell on June 8, due to the uncertainty over the quantity restrictions on nearby position. The revised quantity restriction would come into force from July 16 and hence there was panic in the market on July/August/September positions. Purchasers and sellers were liquidating their positions. The June contract on NCDEX fell by Rs 15 on June 8, to close at Rs 13,969 from Rs 13,984 on June 7. The decline in other contracts was from Rs 184 to Rs 240 a quintal. On NMCE, June contract dropped Rs 139 a quintal to Rs 13,434. The decline in other contracts except August was from Rs 47 to Rs 169 a quintal. August increased by Rs 74 a quintal.

The total turnover on NCDEX increased by 461 tonnes to 19,259 tonnes, while on NMCE it fell by 143 tonnes to 1,420 tonnes. The total open interest on NCDEX dropped by 736 tonnes to 26,815 tonnes. June position fell by 518 tonnes to 7,860 tonnes, while July fell by 406 tonnes to 11,980 tonnes. However, August improved by 69 tonnes to 4,885 tonnes. Spot prices in tandem with the downward trend in the futures fell by Rs 100 a quintal on Friday to close at Rs 13,600 (un-garbled) and Rs 14,200 (MG 1).