Red chilli falls 4% on arrival pressure

Chilli prices fell by Rs 228 to Rs 5,520 per quintal in futures trade today on profit booking by traders on the back of poor demand from the domestic markets amid higher arrivals of fresh crop.

At the National Commodity and Derivative Exchange, the June contract fell by Rs 228, or 3.97%, to Rs 5,520 per quintal, with an open interest of 4,965 lots.

The April contract declined by Rs 208, or 3.87%, to Rs 5,168 per quintal, with an open interest of 6,415 lots.

Market experts said besides profit-booking, fall in demand in the spot market led to a decline in chilli prices at the futures market.