Chana futures may hold above 3150 levels on reports that as on 20th Jan, 2012 from Ministry of Agriculture revealed marginal fall of 0.9% to 146.47 lakh ha in Rabi pulses 2011-12 as compared to previous year 145.12 lakh ha. Gram area in Gujarat has come down to197200 ha.
Moreover, once the Indian arrivals will be over the prices are likely to go up further due to tight supply situation following lower crop this Kharif 2012 at around 22.5 lakh tonnes.
Sugar futures may trade sideways with a weak bias. Exporters are closely watching the developments in spot and looking forward to hear positive news for allowing additional export quota.
Moreover, they expect the government might notify lower Sugar quota for export which may be in-between 0.5 to 1 million tons against their demand of 2 million tons.
Kapas futures may continue may continue its short covering & remain above 945 levels as exporters might re-enter into the market for pending month end export obligation.
At the same time demand from ginners/mills will start slowly picking up as the prices corrected from its recent high.
Courtesy: Courtesy: SMC Global
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