SEBI bans launch of recent chana futures contracts by admin- Tuesday, August 17th, 2021 07:54:18 AM
Move visible as a precautionary measure to avert any upward thrust in expenses, which can also upload to the inflationary difficulty
In a primary of its type circulate, market regulator SEBI has banned launch of latest futures settlement in chana likely as a precautionary degree to avert any sharp spike in charges which in flip will add to the inflationary subject of the government.
In a route to the biggest agriculture commodity derivatives trade NCDEX, the regulator stated no new chana agreement might be released till similarly orders.
In terms of present contracts, SEBI stated no new positions might be allowed to be taken and only squaring up of role might be allowed. These guidelines could be implemented with immediate impact, it said.
Chana August futures had rallied inside the closing week of July to ₹5,one hundred forty a quintal.
However, final month the Union authorities had imposed stock limits for all pulses except moong till October 31. This had dragged Chana futures under ₹four,800 level. However, budging to agitation from wholesalers, importers and stockists, authorities comfortable the inventory limits in less than two weeks.
As in step with second boost estimates of Ministry of Agriculture, India’s chana production is probably to reach an all-time high of 116 lakh tonnes this kharif season in opposition to 111 lakh tonnes logged remaining 12 months, though the vicinity below ordinary pulses sowing is down three in step with cent yr-on-year.
Notwithstanding a bumper crop prediction, supply of chana in July turned into down 50 in keeping with cent at 1.35 lakh tonnes in comparison to the preceding month. Further, within the first half of of August, arrivals were down 33 in keeping with cent at 46,280 tonnes in comparison to the preceding month.
In this situation, the government plans to elevate chana procurement in this season by means of fifty five in step with cent at 32 lakh tonnes in opposition to 21 lakh tonnes offered last 12 months. However, Nafed, the authorities’s nodal procurement organization, has did not build any tremendous buffer amid better expenses prevailing in open markets.
Lower materials in mandis towards strong call for for chana dal and besan ahead of gala’s are expected to push up prices, specifically with the lockdown being secure across the States, said Ajay Kumar Kedia, Director, Kedia Commodities.