Mentha oil futures declined at the Multi Commodity Exchange (MCX) as a result of the booking of the profits by the traders tracking the decline in the demand in the spot market.
Mentha oil futures for October 2011 contract, at MCX, was trading at Rs. 1333.90 per 1 kg, down by 0.12% after opening at Rs. 1328 against the previous closing price of Rs. 1335.50. It touched the intra-day low of Rs. 1326 till the trading. (At 10.39 AM today).
Mentha oil is one of the important essential oils. It is extracted from herb Mentha arvensis through distillation process. It is widely used in food and flavourings
Indias mint belt lies in the countrys "breadbasket," spanning the states of Uttar Pradesh, Punjab, Himachal Pradesh, Haryana and Bihar. About 80% of the crop in India comes from Uttar Pradesh (Rampur, Moradabad, Bareilly, Barabanki and Badaun) and the balance 20% from Punjab, Himachal Pradesh and Haryana.
India will always play an important role in world mentha oil market, with a never ending demand from the cosmetics and food industry and production restricted to few countries.