Chilli hots up after rain in growing regions

CHENNAI, FEB. 22:

Heavy rain in chilli-growing regions on Monday resulted in the spice's prices increasing Rs 200 a quintal.

“Prices have been ruling stable for quite sometime now after touching Rs 10,000 a quintal in the second week this month. But Monday's rain led to bullish sentiment,” said Mr Nandyala Satyanarayana, an exporter.

At the Guntur Agricultural Produce Marketing Committee (APMC) yard, the red chilli modal rate, or the rate at which most trades took place, was Rs 8,000 a quintal. The red new variety modal price was quoted at Rs 8,700 a quintal. Arrivals of red chilli were 1,073 tonnes against 1,578 tonnes on Monday. In the case of red new variety, arrivals were 447.3 tonnes against 657 tonnes.

On the National Commodity and Derivatives Exchange, spot chilli was quoted at Rs 8,779 a quintal.

PROFIT-BOOKING

Futures price, however, dropped as speculators were keen on booking profits.

The March contract was quoted Rs 136 a quintal lower at Rs 10,178, while April contract ended Rs 116 lower at Rs 10,740 a quintal. In general, arrivals that are trickling in at an average 60,000 bags (42 kg each) are good. “They will pick up next month when harvest peaks,” he said.

(Source: http://www.thehindubusinessline.com/markets/commodities/article1481103.ece)