Pepper futures fell as market players adjust limits

Kochi: Pepper futures fell on June 19, as the market players were adjusting their limits because of the quantitative restrictions, which will become effective from June 20. As the future deliveries are available at lower rates the exporters were offering Asta grade pepper cheaper. This phenomenon and the falling trend in the Indian prices seem to have compelled the Pepper Exporters Associations in Brazil, Indonesia and Vietnam to convene a meeting in Jakarta on Jun 25 - 28 to review the present international market scenario and why India is volatile and selling Asta pepper cheap. All other origins world over, were firm at higher levels while the Indian parity kept on dwindling. Brazil was offering Asta grade pepper at $3,600- 3,700 a tonne (f.o.b) while Indonesian parity for Lasta was said to be at $3,850-3,900 a tonne (f.o.b) and V Asta at $3,800-3,850 a tonne (f.o.b). Where as, the Indian parity was at $3,750-3,800 a tonne (c&f). June contract on NCDEX fell by Rs 36 a quintal on June 19, to Rs 13,628. December increased by Rs 297 a quintal to Rs 15,689. The total turnover on NCDEX dropped by 2,088 tonnes to 22,445 tonnes, while on NMCE, it dipped by 26 tonnes to 2,309 tonnes. The total open interest on NCDEX fell by 64 tonnes to 23,282 tonnes.