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India wheat end up on exports; high stocks weigh.


Date: 11-07-2009
Subject: India wheat end up on exports; high stocks weigh
 MUMBAI, July 10 (Reuters) - Indian wheat futures ended up on Friday as higher government stocks were offset by a decision to allow limited wheat exports, analysts said.

July futures contract NWTN9 on National Commodity and Derivatives Exchange ended at 1,116.8 rupees per 100 kg, up 0.5 percent.

India allowed the export of 900,000 tonnes of wheat by state-run firms and 650,000 tonnes of wheat products by private trade as monsoon rains revived after a dry spell. 

"The prices will remain firm after bulk local consumers like millers are forced to buy from the open market since government is not selling to private players," Trilok Agarwal, secretary, Flour Mill Association, Gujarat, said.

India's wheat procurement so far has crossed 25 million tonnes in the marketing year that began in April 2009, a government release said on Tuesday. 

The procurement stood at 25.06 million tonnes as on July 7, compared with 22.4 million tonnes procured during the same period the previous marketing year.

Rabobank International in a report expect Indian wheat exports at around 5-6 million tonnes if the monsoon is normal during the month of July.

Source : REUTERS


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