Barley sheds 1.3% on rising inventories

Seasonal demand from beer makers limits losses

Barley prices drifted by Rs 17.50 to Rs 1,302 per quintal in futures trading as speculators trimmed positions today, amid rising inventories in the spot markets.

However, seasonal demand from consuming industries limited the losses.

At the National Commodity and Derivatives Exchange counter, barley prices for delivery in current month contracts moved down by Rs.17.50, or 1.33 per cent to Rs.1,302 per quintal, in an open interest of 4,230 lots.

The June contract declined by Rs.9.50, or 0.71 per cent to Rs.1,333 per quintal, with an open interest of 12,310 lots.

Marketmen said mounting stocks in the physical markets following higher arrivals of new crops from growing regions put pressure on barley futures prices here but demand from beer makers, restricted the fall.