Chana to remain volatile on sluggish demand, government tender, festivals.

Chana prices in the local market could potentially remain volatile as demand from the dal millers remains sluggish despite festivities. Prices in Indore and Delhi market are trading at 5,300 rupees and 5,450 rupees respectively. The processing capacity of the millers have reduced significantly and there is lack of bulk buying. Meanwhile, there are government tenders which are making the regular availability in the market. This is restricting sharp upside in the prices. Bulk demand from the temples have also reduced significantly since Covid-19 pandemic. Overall, going ahead prices will be determined by the demand ahead of Diwali, pattern of retreating monsoon in the country and potential output of kharif pulses and most importantly full opening of travel and tourism in the country.