Weekly Review-Peanuts
15-Feb-2025 08:13 PM
Despite government procurement, the price of peanuts is much below the support price
It seems like the peanut market is going through a mixed phase, with government procurement not being enough to push up the wholesale prices, despite good production and arrivals. Here's a breakdown of the key takeaways from the review:
Price Trends:
- Despite record government purchases at the support price of Rs 6783 per quintal, prices in the wholesale market have not risen.
- The increase in production and arrivals hasn't translated to higher prices, partly because of weak export performance and a drop in groundnut oil prices.
Arrivals:
- Peanuts have been arriving in significant quantities across various mandis in Gujarat, Rajasthan, Uttar Pradesh, and other states, but the overall price has remained stable with some regional variations.
- In specific areas like Jaipur, Solapur, and Jhansi, prices did increase by Rs 100-200 per quintal, while other markets like Karobar and Mauranipur saw a decrease.
Groundnut Seeds:
- The demand for peeled groundnut seeds from crushers and manufacturers remained subdued, leading to stable prices in many regions, though there was a slight uptick in Maharashtra due to some buying activity.
Groundnut Oil:
- The market for loose groundnut oil showed slight improvement, with prices rising by Rs 25-50 per 10 kg, while branded oil prices stayed steady.
- Filtered oil prices strengthened after a previous softening.
Groundnut DOC:
- The market for groundnut DOC (De-oiled Cake) remained sluggish, with prices dropping by Rs 500 per ton.
In essence, while production is good and government procurement has been substantial, factors like weaker exports and lower oil prices are preventing any significant rise in the wholesale price of peanuts.