MUMBAI, Dec 18 (Reuters) - India wheat futures are seen lower on Friday on rising acreage and government plans to offload stocks in the domestic market, analysts said.
Wheat January futures contract NWTF0 last ended 0.42 percent higher at 1,343 rupees per 100 kg.
India may lower the price for wheat sold by the state procurement agency to domestic flour mills, the junior farm minister said on Wednesday, with government stocks at more than double the target.
The Food Corp of India has earmarked 500,000 tonnes of wheat for sale to bulk consumers such as flour mills between October and December, but the mills have not been lifting stocks saying the 1,400-1,450 rupees ($30-$31) per 100 kg price was too high.
Acreage for the winter-sown crop rose to 21.73 million hectares since Oct. 1 to Dec. 10, from 21.60 million hectares in the year-ago period.
Planting of winter-sown crops such as wheat and rapeseed is progressing well, India's junior farm minister, K.V. Thomas, told reporters on Wednesday.
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.
Source : REUTERS