Wheat soars 3% on wedding season demand

Hopes of rise in wheat exports fuels sentiment in futures trading

Wheat prices shot up Rs 44, or 3.01 per cent to Rs 1,504 per quintal in futures trade today as speculators enlarged positions on the back of pick-up in local demand for the wedding season amid expectations of higher exports.

At National Commodity and Derivatives Exchange, wheat for delivery in February spurted by Rs 44, or 3.01 per cent, to Rs 1,504 per quintal, with an open interest of 9,930 lots.

March wheat traded higher by Rs 38, or 2.69 per cent, to Rs 1,450 per quintal, with a business turnover of 3,480 lots.

Marketmen said speculators enlarged positions on increased demand at spot markets for the ongoing wedding season amid hopes of rise in exports of grain by the government, leading to the rise in wheat futures.

Meanwhile, concerned over surplus wheat stocks, the government's advisory body CACP has suggested the Centre "aggressively" push exports of 10 million tonnes of wheat from the FCI godowns during the 2013-14 fiscal.