Daily Report of Agri Commodities 21 March 2024
Prices of gram as well as other pulses stable
, wheat prices rise, guar gum and seeds fall
New Delhi. Chana prices stabilized in Delhi due to reduced selling at lower prices, although offtake remained weak. According to traders, if the weather remains favorable in the producing states, then the arrival of new gram will increase after Holi. In such a situation, pulse millers are purchasing only as per requirement. Anyway, once the pressure of new crop arrivals builds, prices will weaken. Therefore, buying should be done only when the price comes down. However, the production estimate of gram in the current season is low, and very little old gram of good quality is left in the markets.
In Delhi, the price of gram from Rajasthan was quoted at Rs 5,950 per quintal, while the price of gram from Madhya Pradesh remained stable at Rs 5,900 per quintal. New gram prices of Rajasthan stabilized at Rs 5,825 to Rs 5,850 per quintal, while new gram prices of Madhya Pradesh stabilized at Rs 5,800 to Rs 5,825 per quintal. The daily arrival of gram was 3 to 4 motors.
Rajasthan Line moth prices remained stable at Rs 6,400 to Rs 6,450 per quintal in Delhi.
Pigeon pea prices in Solapur stabilized after falling for three consecutive days. According to traders, recently the prices of lemon pigeon pea in Myanmar have decreased, while the shipment of new pigeon pea has started from Sudan. In the domestic market, pulse mills are purchasing only as per requirement because the demand for arhar dal is weaker than normal. On the other hand, the central government is continuously reviewing the prices of pulses. According to experts, the arrival of local pigeon pea will continue in the producer markets, and the import of lemon pigeon pea from African countries will also increase in the coming days. Therefore, one should not trade assuming a big rise in its price right now. However, imports are expensive, so stockists want to increase the prices. In Solapur mandi, the price of desi arhar was quoted at Rs 9,500 to Rs 10,350 per quintal.
Prices of imported urad in dollar terms in Chennai weakened for the second day on Wednesday. According to traders, the wholesale and retail demand for urad dal is weaker than normal, while the arrival of the new crop in Telangana as well as Andhra Pradesh will increase in the coming days. Due to the strictness of the Central Government, the mills are purchasing urad only as per the requirement. However, due to the consumption season, South India’s demand for urad dal will increase in the coming days. According to experts, the total production estimate of urad in the current season is likely to be less. Therefore, due to the activity of stockists in the domestic market, there may be a slight improvement in the prices of urad but there is no possibility of a big rise. In Chennai, urad SQ was quoted at $1,100 and FAQ at $1,020 per tonne.
Moong prices became stable in Delhi. Traders are not in favor of a big rise in the prices of moong. The weather is clear, hence the daily arrival of moong in the producer markets has started increasing compared to before. Also, due to it being the consumption season, the demand for moong dal will still remain, and the production estimate of moong is likely to be less. Therefore, its price is expected to remain limited bullish and bearish. In Delhi, the price of Rajasthan Line Moong was quoted at Rs 9,150 to Rs 9,250 per quintal.
The prices of local lentils became stable in Delhi, whereas its prices had increased on Wednesday. However, traders are not in favor of big bullishness. The weather is favorable in Madhya Pradesh as well as Uttar Pradesh, hence the arrival of new lentils will increase after Holi. Record production of lentils is estimated in the current Rabi. Therefore, its price is expected to soften further. However, due to less outstanding stock, the arrival of old desi lentils is decreasing in the producer markets, while the demand for lentils from the consuming states of Bihar, Bengal and Assam is expected to remain the same. In Delhi, the price of desi lentils was Rs 6,250 to Rs 6,275 per quintal.
Along with paddy, the price of Basmati rice has also improved. According to traders, the demand of exporters for Basmati rice has increased compared to before, hence its price is expected to improve further. In Tohana Mandi, the price of 1,401 varieties of paddy was Rs 4,315, 1,718 varieties of paddy were priced at Rs 4,270 and in Tohana Mandi, the price of 1,885 varieties of paddy was Rs 4,425 per quintal.
Wheat prices rose today from Rs 2,550 to Rs 2,625 per quintal on Lawrence Road. However, traders are not bullish on its price. The arrival of new wheat in the states of North India will start after the next eight to ten days, so its price is expected to soften gradually. If the weather is favourable, the arrival of new wheat will increase in Madhya Pradesh and Rajasthan after Holi.
Maize prices remain stable. According to traders, the arrival of old maize in the producer markets has reduced compared to earlier, while the arrival of Rabi maize will start in the mandis of Bihar from next week. Therefore, its price is expected to remain limited bullish and bearish. Bilti prices of maize remained stable at Rs 2,350 to Rs 2,400 per quintal in Sangli Mandi.
Millet prices stabilised. The arrival of millet in the producer markets is decreasing considerably, hence there is no possibility of much decline in its price. Millet was traded at the rate of Rs 2350 per quintal in Charkhi Dadri Mandi.
Barley prices remain stable. According to traders, the demand for barley from malt companies will still remain, due to which there may be a slight improvement in its price, but now a big rise is not expected. Although the outstanding stock of barley is low, the arrival of the new crop will increase throughout the week. The price of barley in Charkhi Dadri mandi was Rs 2,000 per quintal.
Sugar prices remain stable. Traders are not too bearish on sugar as of now, demand for sugar is expected to remain as it is the consumption season. Anyway, in the current crushing season till March 15, sugar production has been 280.79 lakh tonnes, whereas in the same period last year, 282.60 lakh tonnes had been produced.
There is a slight improvement in the price of mustard. According to traders, the prices of edible oils in the world market have opened sharply weak for the second day today. However, the weather is favorable in the producing states, hence the arrival of new mustard will continue. In such a situation, there is no possibility of a big rise in its prices. Mustard oil prices have become stable, while demand for oil is weak.
The prices of edible oils in the domestic market weakened by Rs 10 to 15. However, in Malaysia, the price of palm oil rose by 14 rigints to 4,286 rigints per tonne in the futures contract for the month of June. There may be a slight rise in edible oils in the world market, but the chances of a big rise are less. Therefore, their prices will not increase much in the domestic market.
Castor seed prices have softened, with daily arrivals in Gujarat mandis exceeding one lakh bags, while export demand for castor oil is weak. In Gujarat, the price of castor seed was Rs 1,170 to 1,195 per 20 kg and the price of oil was Rs 1,210 commercial and Rs 1,220 per 10 kg FSG.
Soybean prices have weakened in the producer markets. According to traders, there is no expectation of much rise in its price in the domestic market. At present the daily arrivals in the producer markets will remain the same, while the plants are purchasing only as per requirement. However, prices of soybean, soy oil and meal are high in Chicago.
Cotton prices have softened in the domestic market, recently its prices have weakened in the foreign market due to which there is pressure on its prices in the domestic market. Due to March closing and festive season, traders will remain limited in this. However, outstanding stocks with spinning mills are low, hence purchases from mills are expected to increase in April. Anyway, there will be a decrease in daily arrivals of cotton in the coming days.
The prices of cottonseed and cotton cake softened on the second day. According to traders, the daily arrivals of cotton in the producer markets have decreased compared to before, and the arrivals will decrease further in the coming days, hence there is no hope of much decline in their prices.
The prices of guar seed and guar gum have opened weak. According to traders, there is more outstanding stock of guar seeds with the plants. Whereas the export of guar gum products has declined to only 3.39 lakh tonnes during April to January of the current financial year, whereas in the same period of the last financial year, its export was 3.50 lakh tonnes. In such a situation, there is no possibility of any big rise in its prices.