Mumbai, Jan 29 - Indian guar seed futures ended slightly higher after trading in a tight range for most of the day as traders were cautious about the outcome of a European Union team report on Indian guar gum, analysts said on Tuesday.
A team from the European Union visited India in October 2007 to find possible traces of toxin in guar gum. The EU team visited India after at least 16 member states recalled products containing guar gum.
The final EU report, which was expected mid January is being delayed. The team submitted a draft report in late November asking for separation of food and industry grade guar gum.
Indian exporters, who ship the largest quantity of guar gum in the world, are avoiding buying in physical markets ahead of the EU report, analysts said. Guar gum futures ended lower.
About 5,000 bags of 100 kg each were lifted out of the total arrival of 15,000 bags of guar seed, traders said. Guar seed is the raw material for guar gum.
The spot guar seed prices closed at 1,724 rupees per 100 kg, up 1.5 rupees. Guar seed stock on exchange-accredited warehouses stood at 54,779 tonnes, as per the latest data.