The demand for Mentha Oil is likely to sag in the offing. On Friday, the trade of Mentha Oil has decreased which begets squeezing Mentha Oil in a narrow range, as reported by the Indian daily news, The Economic Times.
Mentha Oil is extensively produced in India. Besides India, the US, China and Brazil are also major producers of the mint oil. Currently, 15000 tonnes of mint oil is produced in India and 3000 tonnes from the produced share is exported.
At 12ish, the price of MCX Mentha Oil was INR 1,623.10 per kg, surging by INR 2.40. The softening demand and stocks of Mentha Oil were gauged.
"Mentha oil continues to trade in a narrow range as traders see prices in equilibrium for the fourth consecutive day. Despite a comfortable supply in spot markets, prices are seeing a bottoming formation at every important support," said Mustafa Nadeem, CEO at Epic Research, as reported by the Indian daily news, The Economic Times.
Further, Nadeem said, "This is the fourth consecutive week when we are seeing speculators coming in at lower levels of INR 1,580-1,590. We consider these levels very important and remain a buyer on dips with stops placed below INR 1,580 for an upside to INR 1,670-1,690. as reported by the Indian daily news, The Economic Times.