Mentha Oil Prices Decline on Profit-Booking and Anticipated Increased Supply

New Delhi, May 27 (Commoditiescontrol): Mentha oil prices witnessed a sharp decline on Monday, primarily due to profit-booking activities. Market analysts attribute the drop to the anticipation of fresh mentha produce arriving the market within the next two weeks, putting pressure on prices both in the physical market and futures.

In Chandausi market, mentha oil prices dropped by Rs 15 to Rs 993-995 per kg. Similarly, in the Barabanki market, prices declined by Rs 10 to Rs 968 per kg.

Mentha oil futures contract for delivery in May plummeted sharply by Rs 30.9 to Rs 895 per kg at the Multi Commodity Exchange (MCX), with an open interest of 85 and a volume of 97.

The future contract for delivery in June saw a decline of Rs 13.3, settling at Rs 928.6 per kg at the MCX, with an open interest of 497 and a volume of 187.

The decline in mentha oil prices can be attributed to profit-booking activities coupled with market anticipation of increased supply in the near future. As fresh mentha produce is expected to enter the market soon, prices are under pressure. However, market trends may shift depending on factors such as demand trends and weather conditions, which could influence price movements in the coming weeks.

Mentha Oil contract for MAY delivery settled at Rs 895/quintal showing an fall of Rs -30.9 over previous close of Rs 925.9/quintal,The contract moved in the range of Rs 895-925.2 for the day. Open interest decreased by -29 MT to 85 MT, while trading volume decreased by -38 to 97 MT.

Mentha Oil contract for JUNE delivery settled at Rs 928.6/quintal showing an fall of Rs -13.3 over previous close of Rs 941.9/quintal,The contract moved in the range of Rs 925-942 for the day. Open interest increased by 80 MT to 497 MT, while trading volume increased by 67 to 187 MT.

Mentha Oil contract for JUL delivery settled at Rs 940/quintal showing an fall of Rs -10.8 over previous close of Rs 950.8/quintal,The contract moved in the range of Rs 940-945 for the day. Open interest increased by 3 MT to 20 MT, while trading volume decreased by -2 to 6 MT

Currently The spread between MAY and JUNE contract is -33.6 Rs/quintal.

Currently The spread between JUNE and JUL contract is -11.4 Rs/quintal

Currently The spread between MAY and JUL contract is -45 Rs/quintal.

(By Commoditiescontrol Bureau: +91 9820130172)