Mentha Oil Rises On Weak Supplies In Local Mandies

Mentha oil futures gained almost 1% in today's trading due to receding supplies from cultivators along with reduction in total production estimates in the current year .
Traders mentioned that the total daily arrivals have reduced to 300-400 drums in all the major mandies of Uttar Pradesh against 600-700 drums that were reported earlier. This is mainly due to restricted supplies by cultivators at lower levels along with reduction in total production estimates in the current year.
Market sources mentioned that poor oil recovery from mentha oil in major producing regions such as Rampur and Sambhal district of Uttar Pradesh due to poor rainfall in the current year might reduce the overall recovery of mentha oil in the current season.
Consequently, the MCX Benchmark August Future contract gained almost Rs 10 per kg to trade at Rs 1328 per kg today.
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