Chana yesterday settled down -2.76% at 3141 weighed by good progress in the summer sowing of pulses due to monsoon rains. Chana output is expected to be 8.49 million tonnes in 2012/13 according to the agriculture ministry's third advance estimate, as against 7.70 million tonnes a year earlier. Chana sowing for the current kharif season is expected to go up on good monsoon rain fall. Sowing for kharif pulses crop commenced and 3.74 lakh hectares (ha) of land has been covered. The area under sown is higher when compared to the normal sowing of 1.22 lakh ha. Last year, deficient rains adversely affected the sowing process of chana for kharif crop. The sowing was down by 16 percent. The overall movement in the ready market is lax and prices are not showing much of movement. The arrivals in Delhi's Lawrence Road mandi are 30 trucks today as compared to 40 trucks in last session. Meanwhile, there are some concerns lingering on the pulses sowing in Maharashtra in select pockets.. The demand is moderate in other pulses like Tur and Masur. The spot prices are off their two-year lows but the commodity is down around 20% on a year ago basis as well. The total output of Chana is likely to be 8.57 million tonnes in the current year. This marks a gain of 11.29% compared to the last year's production of 7.57 million tonnes. In Delhi spot market, chana dropped by -59 rupee to end at 3150 rupee per 100 kgs. Now Chana is getting support at 3107 and below same could see a test of 3073 level, And resistance is now likely to be seen at 3202, a move above could see prices testing 3263.

Trading Ideas:

Chana trading range for the day is 3073-3263.

Chana edged lower weighed by good progress in the summer sowing of pulses due to monsoon rains.

Chana sowing for the current kharif season is expected to go up on good monsoon rain fall.

NCDEX accredited warehouses chana stocks gained by 2351 tonnes to 136881 tonnes.

In Delhi spot market, chana dropped by -58.5 rupee to end at 3150 rupee per 100 kgs.