Chana futures plunge 4% on supply pressure

Chana prices plunged by Rs 133, or almost 4% to Rs 3,198 per quintal in futures trade today after speculators reduced their positions, triggered by increased arrivals from producing regions in the physical market against subdued demand.

At the National Commodity and Derivatives Exchange, January chana tumbled by Rs 133, or 3.99%, to Rs 3,198 per quintal, with an open interest of 80,920 lots.

The February delivery also declined by Rs 86, or 2.62% to Rs 3191 per quintal, with business volume of 80,680 lots.

Market analysts attributed the sharp fall in chana futures prices to adequate stocks position following increased arrivals from producing regions against lower demand.