New Wheat Arrives In MP Mandis, Prices Fall In Rajasthan amid Higher Freight

NEW DELHI (Commodities control) Wheat prices eased down today in majority of spot markets after sharp rise in last week. Weaker demand and higher freight charges caused for down fall in the prices. However, rally in the prices in not seem to be over. It may continue in next crop season. New wheat was traded as high as Rs. 1871 per quintal in Indore mandi.

Wheat prices came down by Rs. 25-50 per quintal in Rajasthan mandis. Mill quality wheat slipped up to Rs. 35 per quintal as freight charges have gone due to scarcity of truck According to trade sources, there was a long que of wheat laden trucks at Kandla port for unloading as exporters were buying wheat in large quantity. Freight charges (Kota to Kandla port) increased from Rs. 1200 to Rs. 1400 per MT in last few days because truckers were taking longer time to transport wheat. Higher freight dampened wheat demand so the prices came into pressure. However, the prices maintained steady trend in Rajkot due to better demand from exporters and local flour millers.

The prices slipped Rs. 25 to Rs. 1800-1825 per quintal for mill quality wheat in Indore. Danki wheat also came down in the market. However, traders expect further price rise after consolidation. Higher prices for new wheat indicated the same trend. New wheat hit in some mandis of Madhya Pradesh. MP is first state where wheat arrive at earliest. A lot of 10 quintal was traded yesterday at Rs. 1851 per quintal in Agar mandi. It was further forwarded to Indore mandi at Rs. 1871 per quintal. Wheat prices remained steady in other mandis.