India chana extends gains on demand, low area

MUMBAI, Nov 18 (Reuters) - India's chana futures extended
gains into a third session on Wednesday on firm prices of other
pulses, improved spot demand and concerns acreage may fall in a
key producing state, analysts said.

The area under chana may shrink this year in Rajasthan due
to poor rainfall and a diversion towards rapeseed, traders
said.

"Spot demand has improved due to wedding season. Market
talk of lower acreage is bringing stockists into the market,"
said an analyst at Angel Commodities Broking Ltd.

Chana acreage in Rajasthan as on Nov. 10 stood at 403,000
hectares compared to 726,000 hectares during the same period a
year ago.

Chana, a winter-sown pulse, is priced lower than kharif
pulses like tur, urad and moong, but follows their trend as
consumers tend to buy the cheaper substitute.

In the Delhi spot market, the price rose by 29 rupees to
2,519 rupees per 100 kg.

Following are the closing prices of chana futures in rupees
per 100 kg on the National Commodity Derivatives Exchange
<0#NCH:>

Contract Reuters code Closing price Change in %
============================================================

Nov NCHX9 2,552 1.71

Dec NCHZ9 2,681 1.98
(Reporting by Rajendra Jadhav; Editing by Sunil Nair)