Fluctuations in Paddy and Rice Prices Driven by Supply and Demand
New Delhi: Supplies of 'A' Grade and Basmati paddy (particularly the 1509 variety—both hand-harvested and combine-harvested) are rising rapidly in key markets across major producing states. Prices are fluctuating—rising in some areas and softening in others—depending on the demand and buying activity from rice millers, traders, and exporters.
Export Shipments
Basmati rice exports are facing some hurdles due to the increasingly unsafe conditions along the shipping routes of the Strait of Hormuz and the Bab-el-Mandeb, making exports to Gulf nations somewhat difficult. However, shipments of 'A' Grade and common varieties of rice continue uninterrupted. Domestic demand for rice remains robust.
Delhi
During the week of October 3–9, daily paddy arrivals ranged from 50,000 to 100,000 bags at Delhi's Narela market, while arrivals at Najafgarh stood at 5,000–7,000 bags.
Chhattisgarh
Paddy arrivals in Chhattisgarh's Bhatapara and Rajim markets were recorded at 3,500–4,500 bags and 2,500–3,000 bags, respectively, whereas in Amritsar, Punjab, volumes surged to reach 100,000 bags.
Punjab
Good volumes of paddy are also arriving in Punjab's Fazilka and Tarn Taran districts. Large quantities of paddy have begun reaching various markets in Uttar Pradesh, including Etah, Mainpuri, Jahangirabad, Shahjahanpur, Aligarh, and Khair. Similarly, new paddy is rapidly arriving in major markets across Haryana, where active trading is taking place. Rice
As for rice, trading activity is improving, creating an environment of rising or firming prices. Local and outstation demand for rice remains steady across most centers. While prices are generally firm, some softening has been observed in certain areas.
Amritsar / Uttarakhand
A mixed trend was observed in Amritsar during the week under review. In the prominent market of Uttarakhand, a significant increase of ₹100 to ₹500 per quintal was recorded in the prices of various rice varieties and grades; however, rice prices remained relatively subdued in Haryana's benchmark Karnal market, while stability was observed at Delhi's Naya Bazar.
