Mustard prices likely to remain strong due to low arrivals
08-Jul-2024 06:17 PM
New Delhi. The rise in mustard prices due to good buying by government agency NAFED, which became the basis for its strength, is likely to remain more or less intact in the future as well.
Although industry and trade organizations had estimated the production of 121 lakh tonnes of mustard in the Rabi oilseed oil seminar, but now some experts are assuming that the actual production has been about 5 lakh tonnes less than this because in some areas the availability of mustard per hectare was below expectations.
The daily arrival of mustard in important mandis of major producing states has also started decreasing while there are indications of strong demand.
The trend of the international market is also favorable for keeping the prices of mustard and its oil strong. It is worth mentioning that during the peak period of April-May in the current Rabi marketing season, at one time the average daily arrival of mustard in wholesale mandis at the national level has also started decreasing while there are indications of strong demand.
The trend of the international market is also favorable for keeping the prices of mustard and its oil strong. It is worth mentioning that during the peak period of April-May in the current Rabi marketing season, at one time the average daily arrival of mustard in wholesale mandis at the national level has also started decreasing while there are indications of strong demand.
The trend of the international market is also favorable for keeping the prices of mustard and its oil strong. It is noteworthy that during the peak period of April-May in the current Rabi marketing season,
at one time the average daily arrival of mustard in the wholesale markets at the national level had increased to 10-11 lakh bags (each bag of 50 kg) which has now come down to 3.00-3.50 lakh bags. This indicates that either the stock with the farmers is decreasing rapidly or they are not willing to sell their goods quickly even at the current price level.
It appears that small and medium class farmers have already sold a large part of their mustard stock and now big producers have a good stock of goods which can try to sell it gradually. Due to various reasons, the price of soybean,
sunflower and oil palm has increased in the global market, due to which the price of its oil has also strengthened. The cost of its arrival in India has increased. The market may remain high for some time.
The arrival of mustard in the major producing areas of Rajasthan has now decreased by about 40-45 percent compared to its peak level. As a result, the price of 42 percent conditioned mustard in Jaipur has jumped from the prevailing price of Rs 5300/5325 per quintal in the beginning of May to Rs 6140/6150 per quintal now. Similarly, the price of mustard oil has also increased from Rs 98-99 per kg to Rs 117-118 per kg.