Weekly Review-Gram
18-Jan-2025 09:00 PM
Gram prices continue to fall due to lack of demand
The weekly review of gram prices reveals a continued downward trend, primarily due to increased imports and sluggish demand in the domestic market.
Imports Impact: Australian gram exports have surged significantly, with November 2024 shipments to India exceeding 3.49 lakh tonnes, more than four times the October volume. This is largely driven by the duty-free import extension till March 2025, encouraging Indian importers to purchase more gram, despite high domestic market prices.
Price Decline: Prices of gram in key producing states such as Madhya Pradesh, Rajasthan, and Maharashtra have dropped by Rs. 100-200 per quintal due to lower demand from dal millers and increased supply. As a result, Delhi gram prices have fallen by Rs. 100 per quintal, and port prices (for Tanzania and Australian gram) have also decreased by Rs. 50-75 per quintal.
Market Dynamics:
- Madhya Pradesh: Prices fell by Rs. 100-150 per quintal, with weekend prices ranging between Rs. 5500-6500 per quintal depending on the region.
- Rajasthan: A similar trend was observed, with prices dropping by Rs. 100-200 per quintal, leaving prices at Rs. 5200-6625 per quintal.
- Maharashtra: Prices declined by Rs. 100-200 per quintal, with the lowest prices seen in Ahmednagar (Rs. 6100) and the highest in Solapur (Rs. 6700).
- Delhi: Prices have decreased by Rs. 100 per quintal, ending the week at Rs. 6400-6525 per quintal.
- Raipur and Kanpur: Prices dropped by Rs. 50-25 per quintal, respectively.
Gram Dal: Reflecting the decline in gram prices, dal prices have also dropped by Rs. 100-200 per quintal, with prices in major markets like Delhi, Kanpur, and Jaipur ranging from Rs. 7450 to Rs. 7850 per quintal.
Overall, the falling prices can be attributed to weak buying sentiment, increased imports, and an oversupply in domestic markets. The outlook remains dependent on the upcoming weather and sowing results for the current season.