Weekly: Tur, Urad Decline Most In Pulses Complex

MUMBAI (Commoditiescontrol) – Tur, Urad, Masoor, Kabuli Chickpea and Green Pea remained weak during the week ended Saturday (November 26- December 01) due to dull buying support from mills at higher rates. While, Chana, Moong and White Pea traded flat on limited buying activity.

In addition, the business activity in the market remained also thin due to liquidity crunch. The circulation of payment is now very slow between buyers and sellers.

Meanwhile, appreciation in rupee from 74.27 to 69.61 against USD may benefit pulses importers.




Week Highlights

# India Rabi Pulse Sowing down by 12.40 % as on November 30 to 101.91 lakh Ha vs 116.33 last year at the same period. Chana: 70.46 Vs 83.02, Masoor: 12.68 Vs 13.61, Matar: 6.63 Vs 7.10, Urad: 2.37 Vs 2.55, Moong: 0.76 Vs 0.88, Other Pulses:3.06 Vs 3.09.
# Maharashtra: 82 lakh farmers hit by drought, says CM Devendra Fadnavis.
# Madras Court Extend Import Ban Restriction Case Hearing Till December 17, 2018.
# According to media reports, Indian government is likely to challenge stay order given by the Madras high court against import restrictions imposed by the Centre.
# Union Cabinet Expected To Consider This Week Proposed Agriculture Export Policy, Which Aims At Doubling Outbound Shipments Of Farm Products And Increasing Their Share In The World Market.

Burma Lemon Tur:
Tur Lemon variety of Burma origin fell by Rs 250 to Rs 4,450/100Kg in Mumbai due to dull buying support from mills amid limited sale counters in processed tur.

Mozambique origin red and white new tur also eased at Rs 4,350/100Kg and Rs 4,550, respectively amid slack trade activity.

Similarly, domestic tur in bilty trade at Akola also declined by Rs 225 at Rs 4,800-4,825/100Kg on slow millers trade activity.

Also, gradual improvement in arrival of new tur at many markets of Maharashtra and Karnataka weighed on sentiments.

Latur origin Phatka variety priced flat at Rs 6,700-6,900/100Kg for Mumbai delivery on limited trade volume. Gujarat origin Wasat phatka variety also offered unchanged at Rs 6,900-7,300/100Kg, Jalna origin phatka variety at Rs 6,900-7,300/100Kg and Khamgaon origin Phatka variety at Rs 6,600-6,800/100Kg (Mumbai Delivery).

However, lower than expected new crop, compared to last year and consistent decline in stock left with Nafed may support prices at lower rates in the long-term. Movement in Tur prices will also depend on government procurement.

As per market talk, arrival of new Tur is unlikely to be strong in local market in December-January due to lower crop outlook and also as farmers will not be interested to liquidate their produce at lower market prices and prefer either to sale to government agencis at higher MSP of Rs 5,675/100Kg or hold back, expecting market prices to move ahead of MSP in the days to come.

Burma Urad:
Burma urad FAQ variety remained weak by Rs 100 to Rs 4,600/100Kg at the Mumbai market amid dull buying by mills at higher rates, ongoing domestic arrivals at major markets despite shortage of ready stock in Mumbai.

Similarly, in Chennai, Urad FAQ/SQ new slipped by Rs 100 at Rs 4,250/100Kg and Rs 5,350, respectively in ready delivery as per condition due to absence of buyers, while sellers were active to liquidate their stock at prevailing rates due to regular supply from overseas.

In forward business at Chennai, Urad FAQ priced at Rs 4,450/100Kg for mid December-mid January delivery. SQ variety offered at Rs 5,400/100Kg for whole December delivery.

Meanwhile, the Madras High Court has further extended the date of hearing till December 17, 2018 on a plea challenging the DGFT notification to restrict Urad imports. Against that backdrop, importers may continue imports of Urad till the next date of hearing resulting in more pressure on supply side.

Moreover, better prospects of cheaper imports at Chennai/Kolkata port in the wake of an appreciation in rupee from 74.27 to 69.61 against USD are also making a pressure on prices.

Demand for processed urad from consumption centres remained weak at prevailing prices.

Bikaner origin branded Urad dal priced lower by Rs 100 at Rs 6,400-6,700/100Kg for Mumbai delivery, Tiranga brand of Mumbai at Rs 6,651/100Kg for Mumbai delivery and Parivar brand of Jalgaon at Rs 6,500/100Kg for Mumbai delivery.

Moreover, regular supply from overseas at Chennai port and upcoming arrivals of domestic crop from Chandausi (Uttar Pradesh ) and southern markets (Andhra Pradesh and Tamil Nadu) in December may pressurise sentiments ahead. Overall, prices may be attractive at lower levels due to lower output, not much carry over stock left with government and particularly tight availability of good quality urad.

Overall Rabi Urad Sowing Down 7.06 % As On November 28 Vs Same Period Last Yr (LAKH HA). State-Wise Breakup: Andhra Pradesh:0.72 Vs 0.69, Tamil Nadu:1.17 Vs 1.28, Odisha:0.38 Vs 0.48, Total:2.37 Vs 2.55.

Chana Kantewala (Indore):
Chana prices ruled steady to firm at Rs 4,650-4,700/100Kg in Indore due to selective buying from mills amid limited demand and sale counters in Chana dal and besan.

However, Nafed activeness in liquidating procured stock at existing prices also pressurised sentiments.

Australia origin Chana in ready business at Mumbai and Mundra ports priced flat at Rs 4,750/100kg and Rs 4,800, respectively.

On the other hand, Burma origin chana also fell by Rs 50 at Rs 4,650/100Kg on thin millers' buying support.

At National Commodity and Derivatives Exchange (NCDEX), Chana benchmark December contract settled higher at 2.7 per cent or Rs 125 at Rs.4,764/100Kgs.

Chana stocks at NCDEX accredited warehouses stood at 12,126 metric tonnes (Akola: 10,631, Bikaner 1495) as on 30th November, down from 13,562 metric tonnes in the previous session, the exchange data showed.

Australian chana dal priced lower by Rs 50 at Rs 5,850/100 Kg for Mumbai delivery on weak undertone. Similarly, domestic chana dal of Pistol brand offered lower by Rs 50 at Rs 6,050 for Mumbai delivery, Samrat brand at Rs 6,450 for Mumbai delivery, Angel brand at Rs 6,450 for Mumbai delivery. On other hand, Chana besan traded steady at Rs 3,300/50Kg, Vatana besan at Rs 3,000/50 Kg and Vatana dal at Rs 5,500.

In Mumbai, Sudan and Burma origin kabuli declined by Rs 50 each at Rs 4,600/100Kg and Rs 4,850, respectively amid dull buying support from traders and besan flour millers, following slow trend in Chana.

Kabuli Chana dollar variety at Indore priced lower at Rs.5,000-5,500/100Kgs as per quality at Indore.

Kabuli chana of 42-44 and 44-46 counts eased at Rs 6,050/100Kg and Rs 5,850, respectively at Indore market on the absence of local buying support.

The long term outlook of chana will very much depend on progress of rabi crop sowing, which has already begun but is lagging behind as compared to last year.

Prices may get further support due to tightening supply of imported chana amid higher duties and quantitative restrictions, and on expectations that the government may extend curbs on import of yellow peas till March 2019.

Sowing Update (Rabi Season 2018-19)

Overall Chana Sowing Down 15.13 % At 70.46 Lakh Hectare As On Nov 28 Vs 83.02 Lakh Hectare In The Same Period Last Year.

State-Wise Breakup

Maharashtra:8.30 Vs 12.77, Rajasthan:12.15 Vs 12.31, Karnataka:9.91 Vs 12.91, Madhya Pradesh:28.25 Vs 30.35, Uttar Pradesh:4.69 Vs 4.84, Andhra Pradesh:2.77 Vs 4.04, Telangana:0.93 Vs 0.77, Total:70.46 Vs 83.02.

Imported Masoor (Mumbai):
Canada origin masoor in container/vessel and MMTC procured masoor declined by Rs 50/100Kg in Mumbai due to dull enquiries from mills and supply from Canada in containers.

Canada crimson variety masoor in vessel and container fell by Rs 100 at Rs 3,800-3,900/100Kg and Rs 4,000-4,100, respectively. Similarly, MMTC was active in selling old masoor stock, procured earlier at Rs 3,650/100Kg, down Rs 50.

While, Australia masoor nugget variety quoted unchanged at Rs 4,100-4,200/100Kg as per quality amid limited stock availability.

On the other hand, Canada crimson variety masoor in vessel new (Sea Breeze) traded higher at Rs 4,300/100Kg. Similarly, Canada crimson variety masoor in Container new ruled firm at Rs 4,300/100Kg.

Similarly, Australia masoor nugget variety new also quoted higher at Rs 4,300-4,400/100Kg.

However, demand and sale counters in masoor dal remained limited. Canada Masoor Khopoli spot traded at Rs 5,000/100Kg.

Selling of procured Masoor by Nafed in Madhya Pradesh/Uttar Pradesh and overseas supply from Canada are likely to limit the gains for short term. However, slow pace of sowing as farmers are focusing on sowing chana and White Pea and avoiding masoor in Uttar Pradesh because of poor returns for the crop and amid further rise in Tur price may support masoor prices.

Overall Rabi Masoor Sowing Down 6.83 % As On Nov 28 Vs Same Period Last Yr (LAKH HA). State-Wise Breakup: Madhya Pradesh:4.86 Vs 5.58, Uttar Pradesh:4.99 Vs 5.28, Bihar:1.16 Vs 1.68, West Bengal:1.10 Vs 0.41, Uttrakhand:0.14 Vs 0.15, Jharkhand:0.11 Vs 0.17, Total::12.68 Vs 13.61.

Imported White Pea (Mumbai):
Canada origin white pea at Mumbai, Hajira and Mundra ports, Russia White Pea at Mundra port along with Ukraine White Pea at Mundra/Hajira ports almost traded flat as per quality due to limited trade, regular supply in container at Chennai port and fresh supply in break bulk vessel at Kolkata port.

Canada White Pea traded at Rs 4,700/100Kg at Mumbai, Rs 4,550-4,650 at Mundra and Rs 4,550 at Hajira port. Russia origin Baltic variety quoted at Rs 4,421 in Mundra. Ukraine White Pea ruled at Rs 4,600 at Mumbai and at Rs 4,521 at Mundra and Hajira.

Demand in matar dal/besan remained limited at prevailing rates.

Millers and traders are still preferring to purchase domestic chana or Sudan/Burma origin kabuli chickpea due to cheaper prices as compared to white pea and also amid shortage of white pea ready stock.

In India, government had earlier extended curbs on matar import till December end and likely to extend further til March 31.

Overall Rabi Pea Sowing Down 6.62 % As On November 28 Vs Same Period Last Yr (LAKH HA). State-Wise Breakup: Madhya Pradesh:2.12 Vs 2.61, Uttar Pradesh:3.69 Vs 3.51, Assam:0.21 Vs 0.22, Bihar:0.15 Vs 0.23, Chattisgarh:0.18 Vs 0.16, Total:6.63 Vs 7.10.

Moong (Jaipur): Moong traded unchanged at Rs 5,400-5,550/100Kg as per quality at Jaipur market amid limited buying by the mills and ongoing arrivals in Rajasthan.

Demand and sale counters in processed moong remained slow at existing rates. Moong dal prices remained flat at Rs 6,900-7,000/100Kg, depending on the variety.

Farmers in Rajasthan are purchasing good quality moong from producing centres and selling it to the government agency at higher MSP.

However, government agency is still not active in purchasing moong in big quantity at MSP in Rajasthan.

Overall Rabi Moong Sowing Down 13.64 % As On November 28 Vs Same Period Last Yr (LAKH HA). State-Wise Breakup: Andhra Pradesh:0.21 Vs 0.20, Tamil Nadu:0.25 Vs 0.27, Odisha:0.21 Vs 0.34, Total:0.76 Vs 0.88.

Canada Green Pea (Mumbai):
Canada origin green pea at Mumbai quoted lower by Rs 50 at Rs 6,700/100Kg as per quality due to dull trade activity and supply from overseas at Mumbai (JNPT) and Chennai port.

(By Commoditiescontrol Bureau; +91-22-40015513)