MUMBAI, Dec 4 (Reuters) - India wheat futures recovered to close higher on Friday on strong physical demand that ignored higher stocks in the granaries and rising acreage, analysts said.
The December wheat contract NWTZ9 ended 2 percent higher at 1,440 rupees per 100 kg.
"Spot demand remains strong, but we understand prices will fall soon as acreage is increasing and output will be higher," said an analyst with Delhi-based brokerage.
India's wheat output is likely to be higher than last year's record 80.6 million tonnes, Farm Minister Sharad Pawar said, ruling out large imports by the world's second-biggest consumer and producer of the commodity. See [ID:nDEL510402]
"Wheat area in some states has improved. This year output will probably surpass that of last year," Pawar told parliament on Friday.
India aims to raise wheat output by 2 million tonnes from last year's 80.58 million tonnes and is seeking to raise winter wheat output to overcome a drop in rice production in the wake of the country's worst monsoon since 1972.
Wheat stocks at government warehouses were at 30 million tonnes against a target of 16.2 million tonnes.
The December corn NMZZ9 futures contract ended down 0.35 percent at 990.5 rupees per 100 kg.
Source : REUTERS