Turmeric Commodity Trading
Turmeric is the ancient and sacred spice of India. Worldwide it is known as golden spice. Apart from India, it is cultivated in most of the Asian countries, Africa, South Pacific Islands, Malagasy, Caribbean Islands and Central America. Turmeric belongs to the group curcuma and there are 30 varieties included in it 'Alleppey Finger', 'Erode and Salem turmeric', 'Rajapuri' and 'Sangli turmeric', 'Nizamabad fingers' are some popular varieties of India. Turmeric crop takes 7-9 months to mature, the crop is sown during June-July and harvested during February - March.
What makes Turmeric good investment?India contributes nearly 85-90% of the global turmeric production. India's annual production ranges between 8.5 to 9.3 lakh tons.
Being the largest producer in world India dominates the export market for turmeric. India exports around 7-8% of the total production. UAE, Iran, Bangladesh, Malaysia, Japan, UK, Egypt and USA are the major buyers for the Indian origin.
India being the largest producer and consumer, the price of Turmeric is mainly determined by domestic factors
Why is Turmeric a wise investment for an Indian trader?India is the largest producer, consumer as well as exporter of turmeric in the world. This makes Turmeric prices very open to to changes in Indian demand and supply.
Turmeric futures contract was launched on NCDEX platform on July 2004 and has witnessed considerable volatility since its launch.
Good availability in physical markets provides cash and carry opportunity to arbitragers. It serves as a hedging platform for the Producers and Exporters.
Turmeric contract is highly liquid and provides easy entry and exit to a speculator. Thus the Turmeric contract provides space for every investor category.
How can Kotak Commodity help me invest in Turmeric?Kotak Commodity Services Private Ltd (formerly known as Kotak Commodity Services ltd) Limited is a single Window for Complete Risk Management Services. We help hedger hedge in line with the corporate policies of the Client; provide client education. Have a dedicated Relationship Manager (RM). Provide market Intelligence and research. Give infrastructure / Administrative Support. Also make sure that the client is in compliance with the regulatory bodies.
At Kotak Commodities, we offer attractive brokerage rates and the best part is that our Gateway is a free trading account for life, carrying no account maintenance charges at all!
To learn more about Kotak Commodity Gateway Account, please click here.
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