Wheat prices flared up by 2.35 per cent to Rs 1,789 per quintal in futures market today after participants built up fresh positions amid upsurge in demand at the spot market.
At the National Commodity and Derivatives Exchange, wheat for delivery in December shot up by Rs 41, or 2.35 per cent to Rs 1,789 per quintal with an open interest of 7,200 lots.
On similar lines, the wheat for delivery in November traded higher by Rs 30, or 1.75 per cent to Rs 1,742 per quintal in 4,560 lots.
Analysts said fresh positions created by traders due to uptick in demand from flour mills at the spot market, mainly led to rise in wheat prices at futures trade.
Meanwhile, the government yesterday doubled the import duty on wheat to 20 per cent to curb cheap shipments and give positive price signal to farmers in the ongoing Rabi season.
It also imposed import duty of 50 per cent on peas to check cheaper shipments from countries like Canada.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)