Chilli futures weaken on sluggish demand

NEW DELHI: Chilli prices weakened by 1.62 per cent to Rs 5,600 per quintal in futures market today as speculators reduced their holdings, driven by sluggish demand in the spot market at prevailing higher levels.

Adequate stocks position in the physical market also put pressure on chilli futures.

At the National Commodity and Derivatives Exchange, chilli for delivery in August declined by Rs 92, or 1.62 per cent, to Rs 5,600 per quintal in open interest of 8,255 lots.

Similarly, the spice for delivery in September lost Rs 72, or 1.22 per cent, to Rs 5,826 per quintal in 3,710 lots.

Market analysts said speculators reduced their positions on the back of sluggish demand at prevailing higher levels mainly influenced chilli prices at futures trade.