Applications using remote sensing imagery rely on very high accuracy of the pixel data values. This requirement necessitates use of lossless or near-lossless compression techniques during storage. These techniques tend to provide rather limited compression rates of between 2:1 and 3:1. An approach for improving the compression rates of lossless mode JPEG based on contextual choice of the current pixel predictor is presented. Tests on a range of remote sensing images demonstrate the promise in this approach.