Wheat futures up as govt allows export to B'Desh, Nepal

Wheat futures traded Rs 8.80, or 0.69 per cent higher, at Rs 1,279.80 per 100 kg as speculators created fresh positions after the government allowed exports of 3,00,000 tonnes of rice and wheat to Bangladesh and Nepal.

Reports that the government would consider imposition of import duty on grain also supported the upside in the wheat futures prices.

At the National Commodity and Derivatives Exchange counter, wheat for delivery in October contract moved up by Rs 8.80, or 0.69 per cent, to Rs 1,279.80 per 100 kg, with an open interest of 6,190 lots.

The grain for delivery in September contract also traded Rs 5.40, or 0.43 per cent higher, at Rs 1,258.50 per 100 kg, with an open interest of 16,130 lots, while delivery in August contract gained Rs 3.20, or 0.26 per cent at Rs 1,242 per 100 kg, with an open interest of 24,410 lots.

Analysts said the government's decision to allow export of 3,00,000 tonnes of rice and wheat through diplomatic channels to Bangladesh and Nepal, influenced the grain prices at futures market here.

Besides, reports of government considering imposition of import duty on grain also supported the rise.