Chana futures gained almost Rs 300 per quintal in the last three days due to weak production estimates in the current year along with weak opening stocks.
As per second advance estimates of government, the total domestic production of chana in the current year is likely at 7.66 million tonnes against 8.22 million tonnes that was reported in the last year. This is mainly due to waning sowing acreage in major producing states such as Rajasthan, Maharashtra and Andhra Pradesh. However, traders are expecting the total production at much lower side at around 6.50-6.70 million tonnes in the current year.
Moreover, weak opening stocks of around 10-11 lakh tonnes against 23 lakh tonnes that were reported last year might also witness some shortfall in overall domestic supply of chana.
The NCDEX February contract added Rs 300 per quintal in the three last trading to currently trade at Rs 3502 per quintal.
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