Week Ahead: Chana likely to maintain steady to weak tone

MUMBAI, 1 Oct (Commoditiescontrol): Prices of Chana both domestic and imported, succumb to pressure from thin mill participation during the week-ended Oct 1st 2022. Besan and dall miller activity was subdued due to slow demand. Further, the Government remained active to liquidate procured stock at a discounted price.

Moreover, activity in Chana Dal and Besan was slow despite ongoing festive season. Mill buying interest was restricted to meet the immediate requirements.

At Indore, Chana prices eased by Rs 25 at Rs 4,800-4,850/100Kg.

Similarly, Tanzania Chana both old-new crop dropped each by Rs 50-75 at Rs 4,250/100Kg and Rs 4,350, respectively. Importers were facing losses as Rupee depreciated to 81.50 against USD. Local sourced Chana was available at cheaper rate as compared to the commodity procured from the overseas.





Sentiments are still under pressure as goverment has instructed Nafed to dispose 15 Lakh tons at discount Rs 8/Kg to states.

Nafed, remained active to liquidate old procured Chana stock at discounted price in major state.

Currently, Nafed has more than 3 mt of Chana under the buffer stock, of which around 0.5 mt are from the 2020 and 2021 seasons.

As per technical chart - Chana Delhi (Rajasthan line) - Trending lower/ next support at Rs 4,600. Click here

Trend: Chana prices may trade steady to weak considering the Nafed presence in market aimed at disposing its stock at a discounted rate. The agency is looking to create sufficient storage capacity before the start of the next Rabi season. Sowing expected to begin within fortnight. Moreover, demand in Chana Dal and Besan was not supportive despite ongoing festive season. Meanwhile, private traders- stockiest were also active to sell their stock at every rise. Major trade activity continue to be need-based.

(By Commoditiescontrol Bureau; +91-22-40015513)