Jeera May contract dropped Rs 92.5 and settled at Rs 12275 per quintal due to profit-taking after prices rose more than 4 percent since last week, while declining arrivals restricted the losses. India is the world's top producer and exporter of jeera, which is cultivated from October to December and harvested from February. Jeera production is estimated at 3.6 million bags of 60 kg each, up 38 percent on year. Latest sowing data from Gujarat indicates as on 27th Dec, sowing completed in ~2.82 lakh ha vs 2.38 lakh ha last year. As per Rajasthan Agricultural Ministry, the sowing area till 20th Dec had been reported at 3.03 lakh ha vs 3.30 lakh ha same period last year. Productivity of crops in both states however expected to fall due to adverse weather conditions as per reports. Productivity of crops in both states however expected to fall due to adverse weather conditions. Jeera production is estimated at 3.6 million bags of 60 kg each, up 38 percent on year. Arrivals remained moderate but have slowed down over last few days. There are reports of some export queries which supported the rates further. The downtrend may be limited and one can expect some more firm trend if exports pick up. In Unjha, a key spot market in Gujarat, jeera dropped -102.95 rupees to end at 12600 rupees per 100 kg. The contract made intraday low of Rs 12230 a kg and high of Rs 12460 a kg. Support for jeera is at 12183 below that could see a test of 12092. Resistance is now seen at 12413 above that could see a resistance of 12552.

Trading Ideas:

Jeera trading range for the day is 12092-12552.

Jeera fell due to profit-taking after prices rose more than 4% since last week, while declining arrivals restricted losses

Jeera production is estimated at 3.6 million bags of 60 kg each, up 38 percent on year

NCDEX accredited warehouses jeera stocks dropped by 36 tonnes to 11874 tonnes.

In Unjha, a key spot market in Gujarat, jeera dropped -102.95 rupees to end at 12600 rupees per 100 kg.