Chana spot and futures prices on the national bourses may rule firm in the next few days on continued buying by millers and stockists amid concerns of a likely lower acreage in current Rabi season.
MCX February and April 2008 contract traded around Rs 2,280 a quintal and Rs 2,430 a quintal, respectively, mainly on expectation that this season’s output may fall between 2 lakh tonne and 2.5 lakh tonne. Chana acreage for Rabi crop is slightly lower at 79.31 lakh hectares against last year’s area of 83.08 lakh hectares as on January 28, 2008. Severe cold weather condition across the chana growing regions in Madhay Pradesh has caused fundamental concerns about the status of the crop. Higher buying interest was registered by stockists in Maharastra and Karnataka regions.
According to trade sources, Madhya Pradesh crop size might be lesser than last year’s crop. Tough competition from wheat sowing along with severe cold weather has affected chana crop and its yield in Madhya Pradesh and Rajasthan regions.