Mustard: Mild prospects
COMMODITY SPIKES
| The forecasted shortage, however, has had a bearing on far month contracts which are quoted 10 per cent higher than the near month contract. Thus, the May 2008 contract is moving in a narrow range of Rs 551-553 per 20 kg. |
| Unfavourable climate has continued to hamper output this year as well with rabi season production estimated at 7.07 million tonnes, down 5 per cent from last year's final estimate of 7.44 million tonnes, according to the second advance estimates. |
| The open market price of mustard is ruling at Rs 2,300-2,400 a quintal, much above the minimum support price of Rs 1,800 a quintal. |
| The decline is mainly due to fall in mustard acreage by about 686,000 hectares and adverse impact on the crop due to cold weather in Rajasthan and Haryana. |