Weekly: Most Pulses Extend Weakness, Barring White Pea

MUMBAI (Commodities control) – Masoor, Chana, Kabuli Chana and Moong remained weak for the week ended 28th November amid thin mill buying activity. Only White Pea prices were headed higher on better buying, while Tur and Urad traded mixed amid thin trade volume.

Weekly Highlights

# India's Rabi pulses sowing were up by 13.27% as on November 27 to 99.45 lakh hectare vs 87.8 lakh hectares during the same period last year.
# Chief Minister Shivraj Singh Chouhan has reduced Mandi tax in Madhya Pradesh from Rs 1.50 to paisa 50 on each quintal for three months.
# Heavy Rains Delayed Sowing in Telangana; Paddy Cultivation Yet to Start, Coarse Grains Acreage Lagging by 88%.
# According to a notification released by Uttar Pradesh Government for the state, mandi tax has been reduced to 1 percent from the existing 2 percent and is applicable from 27th November. With 0.5 per cent development fee remaining, the farmers and related traders will now pay a total of 1.5 per cent mandi tax instead of the 2.5 percent earlier for trading inside the mandi premises, the official said.

Burma Lemon Tur:

Tur Lemon variety of Burma-origin slipped by Rs 100to Rs 5,800/100Kg, in Mumbai.

On other hand, domestic variety Tur traded higher by Rs 100 to Rs 6,500-6,550/100Kg at benchmark market Akola.

Cheaper overseas supplies, Government agencies actively liquidating stocks and upcoming arrivals of new domestic crop mid-December onwards has pressurised sentiments.

Government agency is selling old raw tur to the mills for processing, packaging and supply of processed Tur under PDS.

Arrivals of new Tur witnessed at few markets of Maharashtra (Solapur, Khamgaon and Dudhani) and Karnataka (Shahabad).

However, arrivals of new Tur are likely to improve from from mid-December.

Harvesting of Tur was delayed due to cloudy weather, and rainfall was reported in some areas of Maharashtra and Karnataka from last couple of days.

Burma Urad:

Price of Burma Urad FAQ new variety extended fall of Rs 100 at Rs 7,300/100Kg, in Mumbai, due to slack millers' tradeand thin offtake in processed Urad despite less imported stockand supply pressure in near future due to shortage of containers.

On other hand, Burma Urad FAQ/SQ varieties in Chennai traded higher by Rs 150-250 at Rs 7,550/100Kg and Rs 8,550, respectively due to crop damage report in districts of Andhra Pradesh due to rains triggered by cyclonic storm Nivar at the time of harvesting.

Arrivals of new Urad are likely to begin within a fortnight at Kurnool district (Rayalaseema, Nandyal, Allagadda and Nandikotkur) and Nellore district (Kavali) of Andhra Pradesh.

Krishnur district arrivals of new Urad will begin from February end 2021.

Chana Kantewala (Indore):

Chana prices widened losses by Rs 175 at Rs 4,975-5,000/100Kg in Indore, following weak cues from futures amid thin mill buying as demand in Chana dal and besan was muted.

Resellers were active at liquidating Nafed procured Chana stock of Crop 2019 & 2020.

Moreover, FCI approved Bid at Rs 4,905/100Kg inMaharashtra.

However, nafed fixed Base price for selling Chana. No bids will be accepted below fixed base price of Jaipur-Mumbai (5400/100Kg), Indore-Lucknow (Rs 5300), Bangalore (5600), Hyderabad (5500) and Chandigarh (5350).

Now that the spread between spot market price and base rate for tender has widened, the possibility of any bids can be ruled out in near term.

Tanzania-origin Chana, in Mumbai, was priced lower Rs 200 at Rs 4,850-4,900/100Kg.

Similarly, Sudan and Russia-origin Kabuli Chickpea was also down, each, Rs 175-200 at Rs 5,000-5,025 and Rs 4,950-4,975 respectively.

Dollar variety Chana fell by Rs 200-300 to Rs 6,000-6,500/100Kg.

Extension of supply of free food grains to migrants and poor under PM-GKAY scheme from November is likely to support prices.

Imported Masoor (Mumbai):

Canada crimson variety and Australia-origin Masoor in Mumbai fell by Rs 75-100 at Rs 4,951-5,000/100Kg and Rs 5,100, respectively in Mumbai.

Similarly, Canada crimson variety Masoor at Hazira port also declined Rs 75 at Rs 4,951/100kg, while at Mundra it was priced at Rs 5,000/100Kg and in Kandla at Rs 4,925-4,931.

Availability of imported raw and processed Masoor stocks, thin offtake in processed Masoor pressurised the sentiments.

Sowing is progressing well due to favourable weather conditions.

Market Sources Reveal That balance stock of Masoor at Mundra Port is approximately 1,11,971.060 MT.

As per Kolkata based trader, one vessel carrying around 30,000-32,000 MT Masoor from Canada is expected to arrive in December month at Kolkata port.

In forward business, Canada crimson variety Masoor new is being offered at $590-$600 per ton on CNF basis and Australia Masoor at $560 per ton.

Imported White Pea (Mumbai):

White Pea prices gained for the fifth straight week by Rs 50 to Rs 7,150/100Kg at Kanpur market on demand from local and outstation markets, for graded quality White Pea.

On other hand, Canada origin White Pea traded unchanged at Rs 6,651/100Kg in Mumbai, as per quality.

Price of White pea, besan and dal remained flat at Rs 3,800/100Kg and Rs 6,800, respectively amid thin buying despite shortage.

Moreover, crushing of White Pea for making dal and besan by mills was less interesting, due to unavailability of White Pea. Major Mills have halted their crushing activity in White Pea.

Moong (Jaipur):

Moong prices declined for second straight week by Rs 100 to Rs 7,500-7,600/100Kg at Jaipur market of Rajasthan, as per quality, amid thin mill buying and ongoing arrivals.

Moreover, demand and sale counters in processed Moong reported slow participation.

Millers were processing average quality moong for government dal tender for PDS distribution. Arrivals and supplies stocked in godowns, meanwhile, are enough to offset current requirements.

The Directorate General of Foreign trade (DGFT) has allotted quota for import of 1.5 Lakh MTs of moong for the fiscal year 2020-21, until 31st March 2021.

Nafed active to liquidate procured Moong at selected states.