Chana yesterday settled down -1.4% at 3094 on higher supplies from the major producing belts. Stocks are high with stockists and traders. Also, sowing is going to be higher in the rabi season. All these factors are weighing on prices. India imported worth $2.3 billion pulses in 2012-13, around 28% higher when compared to the $1.85 billion recorded in the previous year. However, imports may drop in 2013-14 on higher pulses production estimates. The area sown under kharif pulses stood at 101.81 lakh hectares (lh) as on 30 August 2013, up by 15.28 percent year-on-year basis, according to the data released by the Ministry of Agriculture on August 30. The area sown under pulses in Gujarat touched 4.49 lh up by 21.35% compared to the same period last year. In Rajasthan pulses were sown on an area of 22.68 lh, up by 20%, year-on-year basis, as per Farm Ministry data released on August 30. The progress on the kharif pulses harvest front is impressive. As per latest release from Ministry of Agriculture, the acreage under pulses has gone up by 15.28% to 101.81 lakh hectares. This is mainly due to strong sowing of Tur and Urad in Maharashtra. The total output of Chana is likely to be 8.57 million tons in the current year. This marks a gain of 11.29% compared to the last year's production of 7.57 million tons. Rabi Pulses output is likely to be 12.09 million tons, up 9.61% on the year. In Delhi spot market, chana dropped by -50 rupee to end at 3100 rupee per 100 kgs. Now Chana is getting support at 3066 and below same could see a test of 3037 level, And resistance is now likely to be seen at 3140, a move above could see prices testing 3185.

Trading Ideas:

Chana trading range for the day is 3037-3185.

Chana ended with losses on higher supplies from the major producing belts.

The area sown under kharif pulses stood at 101.81 lakh hectares (lh), up by 15.28 percent year-on-year basis

NCDEX accredited warehouses chana stocks gained by 50 tonnes to 109280 tonnes.

In Delhi spot market, chana dropped by -50 rupee to end at 3100 rupee per 100 kgs.