Kochi: Black pepper prices drifted to lower levels in the Kochi pepper market during the week ended Friday. Uncertainty in the market over fate futures contract and low overseas demand were the major reasons for the southward journey in prices, traders said."Farmers resistance to lower prices has put exporters in a fix. Shippers had to buy the pepper at higher level to cover their contracts," a spices board official said. The recent hike in freight rates also is squeezing the traders margin, he added.
Following the lower prices, the supply level from India is thin. However, buyers' expectation of lower prices are keeping them off from the market, a trader said. "Offers from India is steady despite thin trading activity", trade sources said, adding exporters are not making any fresh commitments following an uncertain trade scenario. Black pepper of other origins have yet to be a factor, they added.
Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.
Printer-friendly page