New Delhi: Arrivals of Kharif paddy, especially Basmati, have started to decline in the wholesale markets of major producing states, while demand for rice remains strong in both domestic and global markets. Millers, processors, and exporters are showing significant activity in purchasing paddy from the markets. As a result, during the week of January 24-30, prices of various varieties and grades of paddy increased by Rs. 100-200 per quintal. Further price increases are expected.

During the week under review, daily arrivals of paddy in Delhi's Narela market were 8000-8500 bags and in Najafgarh market 4000-5000 bags, and prices increased by Rs. 120-150 per quintal due to strong buying. Similarly, in Chhattisgarh's Bhatapara and Rajim markets, daily arrivals of paddy were between 4000-4500 bags and 600-1000 bags respectively, and prices improved by Rs. 100 per quintal.

Good arrivals of paddy are being reported in the markets of Etah, Mainpuri, Jahangirabad, Shahjahanpur, Aligarh, and Khair in Uttar Pradesh, and Kota and Bundi in Rajasthan, with robust trading activity. This has kept prices firm.

As far as rice is concerned, export demand has started to increase. Strong demand for Basmati rice is expected from Muslim-majority countries in West Asia, the Middle East, and the Gulf region during Ramadan. Meanwhile, old rice stocks in African countries are depleting, leading to new demand. The weakening rupee has made Indian rice quite attractive for foreign buyers. Exporters are trying to build up rice stocks in various markets, which led to a price increase of Rs. 100 to 300 per quintal during the week of January 24-30.