Urad prices weaken due to arrival of more low quality goods
03-Oct-2024 12:40 PM
Mumbai. Although the supply of new Kharif Urad goods has started in states like Maharashtra, Karnataka, Gujarat and Uttar Pradesh, but its quality is not good. Actually, the quality of Urad has been affected due to heavy rains in these states in recent days.
It is worth mentioning that during the current year, compared to last year, the sowing area of Urad has also decreased at the national level, due to which there is a possibility of decrease in production.
The minimum support price of Urad has been fixed at Rs 7400 per quintal for the marketing season of 2024-25, but its price has come down to below this in some mandis.
According to industry and trade analysts, the Urad crop has been so badly affected by torrential rains that many farmers are being deprived of the entire crop. Even where harvesting is taking place, the price is said to be very weak.
According to Agmarknet, a subordinate to the Union Agriculture Ministry, the weighted average price of urad was recorded at Rs 6869 per quintal during the last weekend.
The weighted average price of urad during the current week was recorded at Rs 6869 per quintal. At the beginning of the current week, the model price of urad (at which the maximum trading takes place) was recorded at just Rs 5072 per quintal in Karnataka's Bidar Mandi and Rs 7400 per quintal in Maharashtra's Ahmednagar Karajat Mandi.
But the price of urad in Indore, Madhya Pradesh and Kanpur, Uttar Pradesh remained slightly higher than the minimum support price (MSP). The model price of urad in various mandis of Karnataka is running between Rs 4150 to Rs 6600 per quintal, while in Maharashtra's mandis it is being reported between Rs 6500 to Rs 7700 per quintal.
According to critics, farmers want to sell this low quality material as soon as possible and hence there is a huge inflow of it in the mandis.
Now the rainy season has started to stop but till the inflow of good quality material in the market does not increase, the pressure on prices may remain. The government has announced to buy urad at the minimum support price but for this the pulses must be of good average quality.