Chilli up on export demand, limited supply

Speculators create huge positions driven by overseas and domestic demand

Chilli prices rose by 1.71% to Rs 4,990 per quintal in futures trade today after speculators created huge positions driven by overseas and domestic demand.

At the National Commodity and Derivatives Exchange, the December contract for chilli traded Rs 84, or 1.71%, higher at Rs 4,990 per quintal, with an open interest of 3,395 lots.

The November contract rose by Rs 50, or 1.01%, to Rs 5,020 per quintal, with an open interest of 4.090 lots.

Marketmen said the rise in chilli futures prices was due to a firm overseas trend as well as good domestic demand.