Mentha Oil Rate Today: How to make Mentha Oil 965 beyond short covering

Mentha Oil Price Today, Mentha Oil Rate in India: Trade is taking place in Mentha on Thursday.

Mentha Oil Price Today 17 September

Mentha Oil remains under pressure in September futures. On Wednesday, it gained some momentum due to short-covering, but on Thursday investors are cautious. Mentha is being traded in the range today and it is trading at a price of Rs 965.9 per kg with a slight increase. On Wednesday, Mentha settled at Rs 965.5 per kg, up 0.28 percent. On Tuesday, Mentha settled nearly 0.3 percent stronger and settled at Rs 962.8 per kg.

The reason for the pressure in mentha is the lack of demand in the spot market. International demand has also weakened. In such a situation, Mentha is advised to stay rangebound. However, the demand from the pharma and synthetic companies in the winter may accelerate.

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Pressure on prices, how to make strategy

Ajay Kedia, director of Kedia Advisory, says that the arrival of mentha has suddenly increased in the spot market after the rains. Meanwhile, demand has also come, but prices have come under pressure due to the sudden increase in arrivals. He says that this year Mentha has got weakness due to Sheru and the sentiment is attractive. But the distance is maintained. Due to COVID 19, industrial demand is not fully back on track. Export demand from other countries including China is also weak.

Ajay Kedia, director of Kedia Advisory, says that Mentha Oil has support at the rate of Rs 943.6. If Mentha breaks this level, then it can come first at Rs 921.8 and then at Rs 908.6. On the other hand, the resistance for Mentha is seen at 978.6. If this price breaks, Mentha will be Rs 991.8 and if it crosses the level, it can become stronger by Rs 1013.6.

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Used in Pharma, Cosmetic, FMCG Industry

Mentha oil is most used in the pharma industry, cosmetics industry, FMCG sector as well as confectionery products. India is the world’s largest mentha oil producer and exporter. The highest yield of mentha oil is in UP. UP accounts for about 80 percent of the total mentha oil production in the country.

In the previous season, mentha oil production was very high. According to market sources, the yields could be between 40,000-56,000 tonnes this year, up by 40 per cent. Due to this, the availability of mentha was very high and the prices could not rise much. About 75 percent of mentha oil produced in the country is exported. Therefore, more foreign demand than domestic plays a big role in fixing prices.

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