Chana recover on spot demand, restricted supply

Production in current crop season likely to decline

Chana futures prices today recovered marginally by Rs 8 to Rs 4,187 per quintal as speculators enlarged fresh positions following rising demand in spot markets amid restricted arrivals.

At the National Commodity Derivatives Exchange, chana for June delivery traded Rs 8, or 0.19% higher, at Rs 4,187 per quintal, with an open interest of 86,970 lots.

The July contract gained Rs 3, or 0.07% at Rs 4,284 per quintal, with an open interest of 36,940 lots.

Analysts said sentiment turned slightly better after speculators created fresh positions following a pick-up in demand at spot markets and restricted supplies amid reports that chana production in the current crop this season likely to decline.