Commodities

Chana races past Rs 5,000-a-quintal mark

Our Correspondent Indore | Updated on March 12, 2018 Published on July 10, 2012

BL11_COM2_CHANA

Bullish trend in chana (gram) continued on higher demand and weak arrival. With speculators in complete grip of the physical market and higher buying support from the manufacturers of pulses and besan (gram flour) ahead of festive season next month, chana (kanta) continued to rally, inching towards a record price of Rs 5,000-a-quintal-mark.

With continuous decline in arrivals, chana (kanta) in the past one week has further gone up by over Rs 200 a quintal with its prices in the spot on Tuesday being quoted at Rs 4,825-50 , while chana (desi) ruled at Rs 4,700-4,750.

With lower crop output this year and steep decline in carryover stock, chana prices in the local mandis are seen rising to Rs 5,500 in the coming monthssaid Mr Sanjay Bansal, a trader. Compared with last year, chana prices have increased by over 60 per cent this year. Against Rs 2,680 a quintal last year, chana prices this year have already crossed Rs 4,800 and going by the existing scenario, it is bound to go higher on the coming days as with monsoon finally becoming active, demand for chana in the coming days (festive season) will further go up due to higher consumption of besan (gram flour), said a trader.

Going by the third initial estimate of the agriculture department, chana production during the rabi season in 2011-12 may decline to 74 lakh tonnes (lt) against 82.2 lt last year. Rise in spot chana has also perked up chana dal (average) in the spot being quoted at Rs 5,700-5,725, chana dal (medium) at Rs 5,850-75, while chana dal (bold) ruled at Rs 6,050-6,100 a quintal.

Dollar chana, on the other hand, ruled steady at Rs 6,400-7,500 on slack domestic and export demand even as arrival declined to 400-500 bags. In container also, dollar chana ruled stable with 42/44 count being quoted at Rs 8,350 a quintal (Rs 150 a quintal lower as compared to its prices last week), 46/48 count at Rs 8,150, while 60/62 count ruled at Rs 6,800 a quintal. With decline in stock and hope of improved demand in the coming days, future of dollar chana appears to be bullish, said Mr Ankur Pandya, a trader.

Published on July 10, 2012
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