Week Ahead: Pulses likely to trade mix, market eyes lockdown restrictions

MUMBAI, 3 January (Commoditiescontrol) Indian pulses market likely to observe mixed trend in the week in progress amid continued arrival pressure and COVID induced restrictions, however, the supply and demand of food items, normally, remain unaffected during restrictions.

Urad-Moong prices declined last week ended 01st Jan 2022 amid slack mills buying due to liquidity crunch and dull offtake in processed pulses. While, Chana-Kabuli Chickpea moved higher on fresh buying at lower rates. On other hand, Tur, Masoor and White Pea stayed almost unchanged due to thin activity.

Sentiments were under pressure after govt extended of restriction-free imports till June 2022 and market men fear that inflow of cheaper produce.

Moreover, lockdown fear due to spread of Omicron will add sentiments further.

Past Week’s highlights

# India Rabi Pulse Sowing down by 0.92 % as on Dec 31 to 152.62 lakh Ha vs 154.04 last year at the same period.
# India's Total Acreage of Rabi Crops up 1.54% y/y at 634.68 lakh hectare so far.
# Statewise Rabi Pulses Sowing Till Dec 29, 2021.

Burma Lemon Tur

Tur Lemon variety of Burma-origin remained almost unchanged at Rs 5,750/100Kg in Mumbai due to cautious participation by the millers amid slow offtake in Tur dal, increased arrivals of new Tur at few markets.

Similarly imported variety of other origins, Tanzania origin Arusha and Matwara varieties Tur ruled flat each at Rs 5,100-5,150/100Kg and Rs 5,000-5,050, respectively. Malawi Tur also remained flat at Rs 4,650-4,700. Sudan Tur also quoted steady at Rs 5,950-6,000. Mozambique origin gajri variety also offered stable at Rs 5,150-5,200.

On other hand, In domestic market, Tur gained by Rs 100-125 during the week to close at Rs 6,225-6,250/100Kg in bilty trade at benchmark market Akola due to mills purchase on immediate requirement for crushing due to dry quality compare to new Tur with moisture contain.

However, due to cash crunch, stockiest were inactive since long time after govt intervened and were active to sell at every rise in ready business. Millers-traders active as per requirement.

Tur prices movement will depend as per arrivals pressure from January month in producing centers and also government procurement. Nafed goal to procure 8 lakh tonnes of tur at MSP across country. Crop loss concern around 20-30 percent due to rain likely to support prices.

Tur growers want Government to reconsider the decision on extension of restriction-free imports till June 2022 as Tur harvesting period began begans and prices were trading below MSP of Rs 6,300/100Kg.

In the overseas markets, Tur Lemon-Linkhey varieties priced at $725 per ton, respectively on a CNF basis in Burma. Meanwhile, buyers from India were inactive.

Burma Urad

Prices of Burma Urad FAQ variety traded flat at Rs 6,500/100Kg in Mumbai amid thin mills buying, regular supplies from overseas and extension of restriction-free imports till June 2022.

Buying was less due to liquidity crunch and slow offtake in processed Urad.

On other hand, Burma Urad FAQ-SQ varieties in Chennai extended fall each by Rs 50 at Rs 6,300/100Kg and Rs 6,880, respectively.

Meanwhile, average quality arrivals of Urad witnessed at Uttar Pradesh and Madhya Pradesh. Arrivals of new Urad likely to began in districts of Andhra Pradesh and also from Tamil Nadu in near future.

Millers from Madhya Pradesh (Tikamgarh) sold Urad gota for Andhra Pradesh (Vizianagaram) at Rs 9,000/100Kg. While, for Chennai they were less interested to sell at Rs 9,000/100Kg due to disparity. Truckfare was less around Rs 350 compare to Chennai around Rs 450.

In the overseas markets, Urad FAQ-SQ varieties quoted at $795 per ton and $880 per ton on a CNF basis in Burma. Meanwhile, buyers from India were sidelined.

Chana Kantewala Indore

Chana prices moved higher by Rs 75-100 at Rs 5,025-5,050/100Kg for the week at Indore as millers interested in purchasing good quality Chana on immediate requirement for crushing.

Availability of good quality Chana was less in market. Moreover, Nafed liquidate procured old Chana was also average quality.

However, actual demand in Chana dal and besan reported thin. Upcoming Pongal festive demand expected from southern markets.

India 2021-22 Rabi Chana acreage was up 1.9 %, as on Dec 31, at 107.69 Lakh Ha Vs 105.68 Last Year.

Arrivals of 35 bags (each bag 50Kg) new Chana of good quality witnessed at Dudhani market. Buyer active to purchase at Rs 4,900/100Kg and sellers were interested at Rs 5,200. In Bidar, new Chana traded at Rs 4,769/100Kg.

On other hand for international origins, Tanzania Chana, both old-new extended fall each by Rs 50-75 at Rs 4,450-4,550/100Kg, respectively.

Also, Russia Kabuli Chickpea priced lower by Rs 50 at Rs 4,600-4,650/100Kg on thin buying activities import of Russian origin was not viable due to high import duty of 40%. While, Sudan Kabuli Chickpea gained by Rs 50 at Rs 5,050--5,150/100Kg on mills purchase despite supplies of new crop from Sudan.

Similarly, Indore Kabuli Chana 42-44 & 44-46 count rise each by Rs 400 at Rs 9,000/100Kg and Rs 8,900, respectively. On other hand, dollar variety Chana traded unchanged in the range as per quality at Rs 7,500-8,500.

Nafed-FCI is actively liquidating its stocks of Chana at various centres at lower rates and Chana sowing progress at selected state (Maharashtra-Gujarat) will keep prices under pressure. While, sowing progress was less at Madhya Pradesh-Rajasthan.

Stockists and farmers holding Chana stock were active to liquidate procured stock at prevailing rates as quality was affected and also due to cash crunch.

Imported Masoor (Mumbai)

Canada crimson variety Masoor along with Australia Masoor at Mumbai were almost stable each at Rs 7,150-7,200/100Kg and Rs 6,900-7,300, amid limited mills purchase as offtake in processed Masoor is thin, Nafed active for sale of imported and domestic Masoor at various centers.

Tracking Mumbai market Canada crimson variety Masoor at Mundra-Hajira port also ruled steady each at Rs 6,925-6,950/100kg and Rs 6,975-7,000, respectively.

Meanwhile, stock of imported Masoor were higher compare to domestic Masoor stock. Prices of imported Masoor were higher at international market and disparity in import.

Govt approves extension of lentil import from Russia till 30 June 2022.

Moong (Jaipur)

New Moong prices dropped by Rs 100 at Rs 6,000-6,700/100Kg at Jaipur market of Rajasthan, as per quality, due to thin millers buying activity as offtake in processed Moong was reported slack and also overseas supplies.

On other hand, Rajasthan origin new Moong traded weak by Rs 150 at Rs 4,500-6,500/100Kg, as per quality, at Naya bazaar pulses market of Delhi.

White Pea (Kanpur)

White Pea prices stayed steady each at Rs 5,575/100Kg (40% dal quality) and Rs 5,875 (60% filter quality) at Kanpur market on limited buying support from local and outstation markets despite shortage.

Similarly, Vatana besan and dal remained stable each at Rs 4,800/50Kg and Rs 6,900, respectively.

(By Commodities control Bureau; +91 9820130172)