Chana seen down on arrivals; govt action feared

MUMBAI: Indian chana, or chickpea, futures are likely to fall on Friday due to rising arrivals in the spot markets and worries the government might curb trading to rein in prices.

On Thursday, the chana May contract on the National Commodity and Derivatives closed marginally up at 3,746 rupees per 100 kg, after falling more than 2 percent at one stage.

Chana prices jumped about 30 percent since the end of 2011 despite the start of new crop arrivals from mid-January. The high prices have fuelled market talk of excessive speculation.

Chana arrivals in Rajasthan, the country's second largest producer, is expected to reach peak levels next week.