Wheat Prices Hold Steady with Govt Support and Declining Arrivals

New Delhi, April 18 (CommoditiesControl): Wheat prices across major centers remained stable with a positive bias, buoyed by active government procurement efforts. In a market characterized by rangebound trading, the support from government purchases has been instrumental in maintaining prices. However, gains were tempered by the absence of significant bulk stockists.

A marginal decrease in mandi arrivals in Madhya Pradesh (MP) and Rajasthan further bolstered prices. In Rajasthan, a gradual decline in wheat arrivals has been observed across major mandis. For instance, Kota mandi witnessed a decline from around 1.5-1.7 lac bags at the start of April to approximately 1.25 lac bags today. Similarly, MP experienced a similar downtrend in arrivals.

In Kota mandi, mill-quality wheat prices saw an increase, ranging between Rs 2350-2425 per quintal, marking a rise of Rs 25 per quintal compared to the previous day.

In other regions, Delhi prices maintained stability, trading at Rs 2425-2430 per quintal. Rajasthan's new wheat traded steadily at Rs 2520 per quintal, with arrivals slightly higher at 30000-32000 MT. Gujarat also saw an uptick in prices, with new wheat trading at Rs 2520-2530 per quintal, driven by improved demand.

The Uttar Pradesh (UP) market mirrored the stability, trading at Rs 2400-2410 per quintal, while loose mandi rates ranged between Rs 2280-2300 per quintal. MP wheat maintained its position at Rs 2525 per quintal ex-mill.

In the southern region, Hyderabad witnessed stable trading of MP new wheat at Rs 2750 per quintal, while Bangalore's spot MP line remained steady at Rs 2840 per quintal. (Note: 4% cd is applicable on above rates)

Bihar saw a slight uptick in prices, with wheat prices rising by Rs 20 to Rs 2410-2430 per quintal, supported by active stockists.

Looking ahead, with stockists showing robust activity and mill delivery prices in Eastern India already reaching their bottom levels at Rs 2550-2570 per quintal, wheat prices are anticipated to remain steady to firm in the near term.