Commodity picks: December 12, 2016

Wheat

Wheat was trading at Rs 2,124 per quintal in the Delhi market. Prices are expected to fall to Rs 2,050 in a couple of weeks, following the removal of import duty and expected aggressive import influx. However, a warmer winter across major wheat-growing belts poses a threat to the size of the new crop, limiting the price fall.

Cotton cake

Cotton cake prices in the Akola market are Rs 1,944 per quintal. Arrivals of Kapas is expected to improve, with the situation normalising after demonetisation. Demand for cotton cake is down from the feed industry. Prices are expected to trade weaker, towards Rs 1,900.

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Prerana Desai, 

V-P (research), Edelweiss Agri Services and Credit, Edelweiss Agri Value Chain