MUMBAI (Commodity Online): Chana futures expected to open lower on Wednesday on the back of higher arrivals from the fresh crop amid subdued spot demand.
In NCDEX chana February contract on Tuesday closed down by 1.42% at Rs.3188 per 100 kg against the previous close. Reports of improving crop yield of Chana due to rains in North India may pressurize prices in the short term, according to Angel Commodities.
Fresh arrivals have commenced from Karnataka and Maharashtra and are expected to gain momentum in the coming weeks.
Further, reports of rains in Northern parts of India (mainly Rajasthan), are conducive for the growth of sown crop and may revise upward the Rajasthan government first advance estimates of Chana.
Sowing of Pulses in India has been covered over 145.12 lakh hectares 0.92% lower as compared to 146.47 lakh hectares in the same period previous year. Chana area till January 20, 2012 was lower by 4.29% and stood at 89.31 lakh hectares as compared to 93.92 lakh hectares in the same period previous year.
According to the Rajasthan farm department’s first advance estimates for Rabi crops, Chana output is estimated 7.8% lower at 14.75 lakh tonnes in 2011-12 season against 16 lakh tonnes in 2010-11.
