Weekly Review-Gram
01-Feb-2025 07:36 PM
Gram slows down due to selling pressure of imported gram
The review indicates a continued slowdown in the gram market, largely driven by the increase in imported gram, especially from Australia, and sluggish domestic demand. The influx of Australian gram in January seems to have led to panic selling, which has pressured prices downward. Additionally, the start of new gram arrivals in Karnataka and Maharashtra contributed to stockists clearing their stocks, further adding to the price drops.
Key takeaways:
- Imported Gram Impact: The arrival of large quantities of Australian gram (including a 33,000-ton shipment) has caused a decrease in prices at ports like Mumbai, with Tanzania and Australian gram prices falling by Rs. 50 to Rs. 75 per quintal.
- Domestic Supply Pressure: The increased gram sowing in the Rabi season (up 2.8% to 98.55 hectares) is contributing to a higher supply, adding further pressure on prices.
- Sluggish Demand: Limited buying from dal millers and the lack of demand for gram dal and gram flour are significant factors contributing to the price decline across major markets like Delhi, Rajasthan, Maharashtra, and Madhya Pradesh.
- Regional Price Variations: Prices across different regions such as Rajasthan and Maharashtra have dropped significantly, with declines of Rs. 100-200 per quintal.
- Gram Dal Prices: The sluggish demand and falling gram prices have also led to a reduction in gram dal prices, with declines of Rs. 150-300 per quintal in various regions.
Overall, it seems the market is experiencing a combination of oversupply, especially from imports, and weak domestic demand, which has resulted in falling prices for both gram and gram dal.