Jeera prices scale lifetime high of Rs 43,000 per quintal on NCDEX: Check target price

Jeera prices: A major spike was seen in the prices of jeera (cumin) on Thursday, with the spice recording a rise of over 5% during the day. As a result, Jeera Futures for May crossed Rs 43,000 mark per quintal on NCDEX  — recording a rise of over Rs 2350 during the day and a rise of over Rs 3100 in the past two days.

Talking about the spike in jeera prices, Purushottam Mundra, chairman of Jodhpur Jeera Mandi, told ZeeBiz that there is a huge gap in demand and supply. And the shortage in meeting demand has led to the rise in jeera prices. 

He added that there could be a correction of Rs 1000 to Rs 1500 in the prices after it crosses the Rs 43,000-mark. He adds that that there'll be a rise in prices after the correction — and this price-rise will be proportional to the quantum of correction seen in jeera prices.

Talking about jeera scaling lifetime high level, Amit Khare, AVP- Research Commodities at Ganganagar Commodity, said that as the spice has crossed its previous lifetime high of Rs 42,440 today, it is difficult to predict how how further it could rise. However, based on the trends and momentum seen recently, Khare believed that jeera prices could further rise to Rs 44,000 in another day or two. He recommended a stop loss of Rs 42,300.

Jeera Target Price: Rs 44,000
Stop Loss: Rs 42,300

Reports say that damage of jeera crop could be one of the reasons leading to the sudden spike in prices of the spice. And with India being the world's largest producer and exporter of jeera the damage in crops will likely affect the supply as well. The rising demand of the spice in markets abroad could also support the rise in the long-term.