Paddy Prices Rise Despite Strong Arrivals; Rice Prices Remain Soft
New Delhi. During the week of November 7–13, major agricultural markets (mandis) across the country witnessed heavy arrivals of Basmati paddy and 'A' grade non-Basmati paddy. Nevertheless, strong demand from millers, processors, traders, and exporters kept prices firm and on an upward trend. With a steady supply of new produce in key-producing states—such as Punjab, Haryana, Uttar Pradesh, and Uttarakhand—and rising prices, farmers are securing better returns.
Paddy Procurement
While the supply of common-variety non-Basmati paddy has also begun to increase, the bulk of this is being procured by government agencies. Basmati paddy is not subject to government procurement, as it has no designated Minimum Support Price (MSP).
Arrivals
In Delhi’s Narela and Najafgarh mandis, arrivals reached 20,000–25,000 bags of paddy, with prices climbing by up to Rs 150 per quintal. In Punjab and Haryana, paddy arrivals were relatively low during the week under review, whereas markets in Uttar Pradesh—including Etah, Jahangirabad, Aligarh, and Khair—saw significant activity. Many mandis remained closed for the first three days of the week. In Uttar Pradesh, prices for the '1509' Basmati paddy variety, in particular, showed an upward trend.
Rice
As for rice, while demand for Basmati and 'A' grade non-Basmati varieties remains robust in West Asia, the Middle East, and the Gulf region, shipments are facing challenges. These difficulties stem from the insecurity of the shipping route through the Strait of Hormuz and high maritime freight costs. Tensions between Iran and the United States remain notably high. Commercial vessels passing through the Strait of Hormuz are facing persistent attacks, leading shipping companies to become reluctant to send their ships along that route.
Delhi
In Delhi’s Naya Bazar, there was limited trading in rice during the latter part of the week under review, with no significant fluctuations in prices. The benchmark Karnal mandi in Haryana remained quiet, while rice prices in the Bundi mandi of Rajasthan saw a decline of ₹100–300 per quintal.
Uttarakhand
In the Nagar mandi of Uttarakhand, rice prices remained stable due to weak demand from traders from other regions and exporters.
