The Hindu Business Line reports that in the physical market, after witnessing some uptrend in recent past, dara wheat prices fell up to Rs 10 a quintal, on account of reduced offtake and better supplies in the market. Dara wheat ruled at Rs 1,545-1,550 a quintal while flour ruled firm at Rs 1,760-1,770.
Wheat prices may rule around current levels for the next couple of days and then, it may decrease further because the new crop is round the corner. Over the last couple of months, FCI has started giving stocks to BPL families in the first couple of days of every month, earlier stocks used to come by the end of second week of every month. Early arrivals of the BPL stocks may also put some pressure on the market.
On the National Commodity and Derivatives Exchange, wheat futures and spot market traded in a tight range last week. Wheat for March and April contracts ended up with a negative note following lack of buying interest and increased supplies in the physical market.
Similarly, spot market remained bearish and went down by Rs 10 last week.
Inadequate supplies and rising domestic demand pushed up aromatic and non basmati rice prices by Rs 50-300 a quintal last week, which were at their highest levels of the season.
Active participation by bulk buyers to meet the ongoing demand and restricted arrivals in the market are giving good support to the market.
However, traders expect that the market may not sustain the current momentum for long and may rule sideways in near future. Market may witness some good buying in April, said market experts.
Higher supplies in the market and decline in buying support dragged poultry items down last week.
Egg prices decreased by 40 paise over the last one week and settled at Rs 2.53, broiler eased by Rs 5 to Rs 80 a kg, while chick sold at Rs 17, down Rs 3.
