Chilli trades higher as demand picks up

Less arrivals from producing regions also influenced the prices

Chilli prices rose by Rs 102 to Rs 5,010 per quintal in futures market today as speculators enlarged their positions on the back of rising demand ahead of the festive season amid restricted arrivals from producing belts.

At the National Commodity and Derivatives Exchange, chilli for delivery in July rose by Rs 102, or 2.08%, to Rs 5,010 per quintal with an open interest of 1,825 lots.

Similarly, the spice for delivery in August traded higher by Rs 104, or 2.04%, to Rs 5,208 per quintal, with open interest of 7,865 lots.

Market analysts said increased buying by speculators following rising demand in the spot market ahead of festive season mainly pushed up chilli prices at futures trade.

They said less arrivals from producing regions also influenced the spice prices.