Chana continues uptrend on festive demand

Chana prices remained higher by Rs 10 to Rs 2,401 per quintal in futures trade today on the back of rising demand in the spot market due to festive and marriage season.

The government's decision to hike minimum support price by 20 per cent per quintal for the 2010-11, also fuelled the uptrend.

Restricted arrivals in the physical market also influenced the chana prices at futures market. 

At the Multi commodity Exchange platform, chana for delivery in December rose by Rs 10, or 0.42 per cent to Rs 2,401 per quintal, with a trading volume of one lot, while November delivery stayed unchanged at previous closing at Rs 2,340 per quintal, with an open interest of one lot.

 

Market analysts said fresh positions created by speculators buoyed by pick up in demand in the spot market due to the festive and coming marriage season against limited arrivals mainly supported the chana prices at futures trade.