Guargum futures rise by Rs 264/qtl on strong export demand

Guargum prices firmed up by Rs 264 to Rs 7,850 per quintal in future trade today as participants enlarged their positions, tracking a rise in export demand amid tight supplies of guarseed.

Market players said a spurt in export due to robust demand from oil exploration industries coupled mainly led to the sharp upsurge in prices.

Besides, less arrivals of guarseed from growing regions along with lower acreage and an overall increase in domestic demand from guargum makers too gave a push to the prices.

At the National Commodity and Derivative Exchange counter, guargum delivery for the farthest contract May climbed up by Rs 264, or 3.48 per cent, to Rs 7,850 per quintal, with an open interest of 7,828 lots.

Most active second contract April month delivery jumped up by Rs 174 or 2.30 per cent to Rs 7,725 per quintal, with an open interest of 28,025 lots.

Meanwhile, first contract March delivery shot up by Rs 158, or 2.12 per cent, to Rs 7,616 per quintal, in an open interest of 27,860 lots.

(This article has not been edited by DNA's editorial team and is auto-generated from an agency feed.)