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Date : 20.09.2013
Grasshopper attack gives rude shock to coffee growers
While coffee growers are smarting under the loss caused to the crop due to excessive rainfall in
Kodagu district, grasshopper menace has added to their cup of woes in certain parts of Napoklu
region in Madikeri taluk.
The locusts have swarmed coffee plantations of Kundyolanda Ramesh Muddaiah at Kolakeri
near Napoklu, voraciously feeding on the shoots and leaves of the plants. Most of the branches
have started dying. This is a serious blow to the growers, whose crop prospects were already
affected by heavy rains, Mr. Muddaiah said.
The insects were showing resistance to pesticides that were being sprayed on the plants, Mr.
Muddaiah said. Coffee berries have dropped due to excess rainfall in many parts of the district.
Rainfall is continuing still albeit with lesser intensity in most parts of Kodagu. The grasshopper
menace had come as a new challenge to the growers in the Napoklu region, Mr. Muddaiah said.
However, there are no confirmed reports as yet on the grasshopper attacks on coffee plants
from other parts of the district.
Mr. Muddaiah has appealed to the government and the Coffee Board to come to the rescue of
the growers. A source in the College of Forestry said that the grasshopper attacks would have
to be verified before arriving at any decision. The source also confirmed that no complaint was
received by the college.
It may be recalled that a couple of years ago, swarm of locusts were found thronging the
Ponnampet region but they did not feed on the coffee plants or damage other crops.
Kallengada Bopanna, a grower from the Napoklu region, told The Hindu that such grasshopper
attacks were not reported in and around Napoklu, but growers had suffered huge loss to coffee
and pepper crops owing to heavy rainfall. “We will be left virtually with no crop this year,” he
said. Mr. Bopanna said that ‘blast’ disease in paddy too had been a cause for concern for the
farmers this year.
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weather
INSAT PICTURE AT 14.00 hrs. Observations recorded at 8.30 a.m. on September 19th.
Max Min R TR
New Delhi (Plm) 37 25 0 518
New Delhi (Sfd) 36 23 0 787
Chandigarh 34 23 0 825
Hissar 36 20 0 507
Bhuntar 34 13 0 407
Shimla 25 17 0 845
Jammu 33 21 0 1251
Srinagar 27 10 0 249
Amritsar 34 20 0 261
Patiala 34 23 0 725
Jaipur 37 25 0 665
Udaipur 35 23 0 656
Allahabad 37 28 0 962
Lucknow 35 24 0 731
Varanasi 36 26 0 747
Dehradun 33 22 0 2809
Agartala 34 25 2 832
Ahmedabad 37 27 0 772
Bangalore 29 21 5 690
Bhubaneshwar 31 25 23 859
Bhopal 34 23 0 1116
Chennai 35 23 10 633
Guwahati 36 25 0 740
Hyderabad 29 23 42 667
Kolkata 33 27 21 1587
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Mumbai 30 22 57 2227
Nagpur 32 24 3 1371
Patna 35 25 15 599
Pune 29 20 71 749
Thiruvananthapuram 30 24 7 1058
Imphal 30 22 0 1038
Shillong 25 18 0 932
The columns show maximum and minimum temperature in Celsius, rainfall during last 24 hours (tr-trace)
and total rainfall in mm since 1st June.
MAINLY DRY WEATHER
South-west monsoon has further withdrawn from entire Jammu and Kashmir, Punjab, most
parts of Himachal Pradesh, some parts of Haryana and some more parts of Rajasthan. The
withdrawal line of South-west-monsoon passes through Kalpa, Hissar, Jodhpur and Nalia.
Rainfall: Rain/thundershowers have occurred at isolated places over Rajasthan and east Uttar
Pradesh. Weather was dry over rest of the region. The chief amounts of rainfall in cm. are:
EAST RAJASTHAN: Nathdwara and Rajsamand 1 each, WEST RAJASTHAN: Gudamalani 1
and EAST UTTAR PRADESH: Ballia and Dudhi 1 each. FORECAST FOR REGION VALID
UNTIL THE MORNING OF 21st SEPTEMBER 2013 : Rain/thundershowers may occur at one or
two places over east-Uttar Pradesh. Rain/thundershowers may occur at one or two places over
Uttarakhand from tomorrow onwards. Rain/thundershowers may occur at one or two places
over west-Uttar Pradesh and east Rajasthan on 21st. Weather would be mainly dry over rest of
the region.
FORECAST FOR DELHI AND NEIGHBOURHOOD VALID UNTIL THE MORNING OF 21st
SEPTEMBER 2013: Mainly clear sky.
“Onion crisis will ease in two to three weeks”
‘Market arrivals of onion improved considerably between September 4 and 16’
Arrival of fresh onion produce from Maharashtra, Karnataka and Tamil Nadu in the next two to
three weeks will ease onion prices providing relief to consumers, Union Agriculture Minister
Sharad Pawar said on Thursday, even as the Commerce Ministry hiked the minimum export
price of onions to $900 from $650 per tonne to discourage exports.
Speaking to The Hindu Mr. Pawar said there was not so much problem in the production of
onions as was the heavy rain in the onion belt in Maharashtra that was impacting logistics and
transportation to Delhi markets and some other places.
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Market arrivals
have improved
Declining to comment on reports of cartelisation by traders, he said the high prices were at the
retail-end. “Market arrivals of onion had improved considerably between September 4 and 16. In
Delhi markets 4,900 quintals arrived on September 4, which improved to 7,000 quintals on
September 16.”
The National Congress Party was not responsible for holding the bulb, Mr. Pawar said.
Normally the period between July and October is the lean season for onion output. Rabi stocks
stored in Maharashtra and Karnataka meet the demand during these months.
Mr. Pawar said market arrivals improved in Lasalgaon and Pimpalgaon (Maharashtra),
Dhavangere (Karnataka), and Indore (M.P.). The wholesale price ranged between Rs.25 to
Rs.30 per kg. Only in Lasalgaon, farmers got Rs.53 on September 16.
“There has been fresh rain in the onion belt of Nasik, Lasalgaon and Pimpalgaon. Farmers are
facing some problems in harvesting and smooth transportation. But the situation will improve in
two to three weeks when fresh crop arrives.”
High diesel price
Sources said due to high prices of diesel, some of the Nasik traders in Maharashtra had chosen
to transport onions to nearby areas such as Hyderabad, Nagpur, Bangalore etc, than sending it
to far-flung areas like Delhi, which led to short supply.
Onion prices in Delhi have shot up to Rs. 70 to Rs. 80 per kg as against Rs. 22 per kg around
the same time last year.
Mr. Pawar held discussions with Food and Consumer Affairs Minister K.V. Thomas who said the
situation would ease in two weeks time from better arrivals.
States were asked to crack down on hoarders, Mr. Thomas said, adding that “they have the
powers to do so.”
“Rain has hit harvest and transportation”
NCP not responsible for holding the bulb, says Pawar
‘High prices a retail-end problem’
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Mettur level
The water level in the Mettur Dam stood at 111.63 feet on Thursday, against its full level of 120
feet. The inflow was 6,256 cusecs and the discharge 18,008 cusecs.
Water level
The water level in the Papanasam dam on Thursday stood at 108.10 feet (maximum
permissible level is 143 feet). The dam had an inflow of 2,693.34 cusecs following a rainfall of 6
mm in the past 24 hours and 1,304.75 cusecs of water was discharged from the dam.
The level of Manimuthar dam stood at 59.80 feet (118 feet). The dam had an inflow of 172
cusecs and 25 cusecs was discharged.
Kanyakumari
The level at dams in Kanyakumari district (in ft): Pechipparai - 23.70, Perunchani 60.75, Chittar
1 - 8.85, Chittar II - 8.95 and Mambazathuraiyaru 32.15.
‘Tea production should be consumer-oriented’
Tea production should suit the requirements of consumers, said the Additional Principal Chief
Conservator of Forests and Managing Director, Tamil Nadu Tea Plantation Corporation
(TANTEA), S. Balaji, at Coonoor on Wednesday. He was participating as the chief guest at the
122nd Annual General Meeting of the Nilgiri Planters Association (NPA). Underscoring the need
to focus on quality, he said that efficient methods should be adopted. He pointed out that
TANTEA, which came into being in 1968 as a Government tea project, has high quality clonal
plantations over 4,300 hectares in The Nilgiris, Wynad and Valparai.
It employs over 8,000 workers, he said, and added that its ultimate objective was to excel in
productivity, social responsibility and protection of the environment.
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In the coming years, the focus will be on mechanisation, quality improvement and promotion of
green technologies like solar power.
He urged the Tea Board to revive its 25 per cent subsidy scheme for modernisation of
machinery and equipment. The Chairman, NPA, Suresh Jacob, said that the government should
explore the possibility of reducing the value added tax for corporate sector tea factories from
four per cent to one. He regretted that permission for using a Geographical Indication (GI) tag
for the Nilgiri orthodox teas was being unnecessarily delayed. The Nilgiri orthodox tea logo had
been registered under the GI Act about six years ago.
Arecanut growers seek compensation for crop loss
They set deadline for government to announce special package
Arecanut in over 17,495 hectares (ha) of the total 34,008 ha of land grown in Davangere was
destroyed owing to floods in the last four months. The approximate crop loss in the district is
estimated at Rs. 167 crore.
The Horticulture Department sent a report to the State government on Wednesday about the
crop loss. The department, in its report, said owing to the extensive rainfall and excessive
moisture content, the crop was damaged completely in most areas.
The department also stated that further damage may happen as more rain is expected during
the season. The department has appealed to the government to provide compensation to
arecanut growers in Davangere through a package.
According to sources in the department, arecanut in over 10,262 ha had been damaged in
Chennagiri taluk, where arecanut was grown prominently, followed by Davangere where the
crop in over 4,483 ha had been damaged. In Honnali taluk, the crop in over 2,500 ha had been
damaged and in Harihar taluk, loss was recorded in over 250 ha of the total 1,254 ha. However,
arecanut was not affected in Harpanahalli taluk, where the crop was grown in over 532 ha and
in Jagalur taluk where crop was grown in 786 ha.
The department has assessed the total crop loss in Chennagiri at Rs. 98 crore, Davangere at
Rs. 43 crore and Rs. 24 crore in Honnali.
Meanwhile, arecanut growers have set a deadline for the government to announce a special
package within 10 days from Thursday, failing which they threatened to stage a hunger strike
outside the residence of Horticulture Minister Shamanuru Shivashankarappa.
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G.S. Revanasiddappa, taluk panchayat member from Bada, K.B. Shivakumar, president of the
Primary Land Development Bank, and R.V. Chendrappa, arecanut grower from Kabburu, said
they had lost not less than Rs. 2 lakh an acre.
Mr. Shivakumar said since the nut rotting disease had spread all over the coconut garden, he
had been forced to cut around 500 arecanut trees.
Mr. Revanasiddappa and Mr. Chendrappa took objection to the government’s alleged
discrimination between growers and questioned the propriety of announcing compensation to
growers of selected districts only.
‘Super grass’ could slash greenhouse gas emissions from agriculture
Cattle grazing Brachiaria in silvopastoral systems in Nicaragua. Brachiaria grasses inhibit the release of nitrous oxide, which has a more powerful warming effect than carbon dioxide or methane.—PHOTO: CIAT/Rein Van Der Hoek/ILRI
via Flickr
Scientists will call for a major push this week to reduce the amount of greenhouse gas
emissions from agriculture through the use of a modified tropical grass.
Brachiaria grasses have been found to inhibit the release of nitrous oxide, which has a more
powerful warming effect than carbon dioxide or methane, leading them to be called a super
grass.
The authors of several new papers on this grass, which is already used in pastures across
much of Latin America, say enhanced strains; wider usage; and improved management will
provide the most effective means of tackling climate change through agriculture, which accounts
for about a third of all greenhouse gases.
Nitrous oxide — largely from livestock production — makes up 38 per cent of agriculture
emissions, but this share could be substantially reduced, they say.
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“On a conservative estimate, we assume that at least half of the gases can be saved in livestock
production in tropical environments,” said Michael Peters, of the International Centre for Tropical
Agriculture. “I think this is the best strategy you can have in agriculture to mitigate greenhouse
gas emissions.”
The papers, which will be presented at an International Grasslands Congress in Sydney this
week, claim that additional benefits will also include higher productivity, less need for fertiliser,
lower levels of nitrate pollution in waterways and considerable carbon capture.
Brachiaria grasses originated in Africa, but have been most extensively used for grazing in
Brazil, Colombia, Nicaragua and parts of Australia and southeast Asia. During the past decade,
scientists have discovered the chemicals that enable the plant to bind nitrogen into the soil, thus
making it more productive and less “leaky”.
They are now breeding different strains of brachiaria to maximise these nitrogen-inhibiting
properties and encouraging wider use of the grass in pastures and in rotation with crops such as
soy and corn.
Although the authors hope it can be used in an additional 100 m hectares, the brachiaria is not a
solution for all countries as it does not grow well in temperate climes.
Downsides
There are potential downsides. The extra productivity could provide an additional economic
incentive for the clearance of forests and — as with all monocultures — the proposed expansion
of brachiaria pastureland poses a challenge to biodiversity.
But the scientists say the benefits outweigh the risks.
“There will be positive impacts on the economy and at the same time benefits for the
environment,” Mr. Peters said. — © Guardian Newspapers Limited, 2013
Onion prices rise again
After a brief and nominal let up, prices of onions have begun to show signs of skyrocketing
again. In the last two days, onions have put on some more weight in terms of its price, costing
about Rs.7 to Rs.15 more per kilogram.
Visitors to the Rythu Bazaars in the city had some disappointment in store as the essential
commodity was being sold at Rs.37 per kg.
“Till Saturday, the subsidised onions at Kothapet Rythu Bazaar were being sold at about Rs.30
per kilo. On Monday, the price was suddenly increased to Rs.37 per kg.
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Private vendors outside the market, who were selling at Rs.40 per kilo till recently, were quoting
Rs.50 all of a sudden,” informed Prasad, a consumer from Kothapet.
However, the subsidised onions at Rythu Bazaars are of much lesser quality than those in the
open market, he says. In supermarkets and other stores, the price has apparently gone up to
Rs.55 per kilogram.
Norwegian technology to reduce pollution at Sunnambu Odai
seeing is believing: An expert team from Norway takes a look at Sunnambu Odai, which runs close to the
Kalingarayan irrigation canal in Erode. — PHOTO: M. GOVARTHAN
A status report on the pollution level in the Kalingarayan canal would be readied by this year-
end by the Tamil Nadu Agricultural University and Norway-based BioForsk that are operating a
collaborative project here to implement strategies for adapting the pattern of paddy cultivation to
climate change to mitigate impact.
The team implementing the collaborative project funded by the Royan Norway Embassy
covering 2,000 acres irrigated by the Kalingarayan Canal took stock of the extent of pollution in
the Sunambu Odai here on Wednesday and had a discussion on the possibility for treating
polluted water diverted to the newly created baby canal biologically and mechanically before it is
let into the Cauvery.
Pollution
The quantum of pollution at the Sunnambu Odai where dyeing industries divert effluents was
found to be very high by the team consisting of Nagothu Udaya Sekhar, Johanson, Adam and
Anne representing Bioforsk, and V. Geethalakshmi and A. Lakshmanan of TNAU.
Water availability and soil nutrition were factored in before advocating the ‘System of Rice
Intensification’ for the farmers along the Kalingarayan canal, to save agricultural water. SRI not
only consumes less water, but also increases yield, Dr. Geethalakshmi said, adding that for
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nutrient management, soil samples from the field were tested and suitable recommendations
were made so as to ensure that there is no underuse or overuse of fertilisers.
Deputy Mayor K.C. Palanichamy; Executive Engineer of PWD, Erode, Periasamy Pragalathan,
and other senior officials accompanied the team.
Commodity prices form bulk of queries in Kisan portal
Kisan portal provides weather alerts, information on outbreak of crop diseases, market information and location-
specific crop advisories through SMS.
Over 15 lakh messages sent in two months via SMS portal
Tamil Nadu farmers, who are “quite inquisitive” to receive information on a host of subjects
including agro-meteorology through short message service (SMS) under the Kisan SMS portal,
have received over 15 lakh messages in two months, accounting for 50 per cent of messages
sent through the portal.
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In respect of the State, a large number of queries related to agricultural commodity prices. As on
Wednesday, 2.8 lakh farmers in the country received messages through the portal
(http://farmer.gov.in/).
Giving details of his department’s participation in the Kisal portal programme, L.S. Rathore,
Director General of Meteorology, told reporters at the office of the Regional Meteorological
Centre here on Thursday that the Kisan portal, developed by the Union Ministry of Agriculture,
provided a comprehensive source of information to the farmers, who had to register themselves
with the portal for receiving messages.
Referring to his department’s other initiatives in providing weather-related information through
mobile applications, Dr. Rathore said that under another programme on agro-meteorology, 3.4
million farmers were receiving messages on their phones.
One half of them got information through SMS and the other half through IVRS (inter-active
voice response system), thanks to the IFFCO Kisan Sanchar Limited.
The Meteorological Department also developed Android-based application to view weather
forecast and warnings on smart phones and tablets which was available in 200 cities, the DG
said, adding that “we have to enlarge the base.”
As regards block-level weather forecast, he replied that initially 240 districts would be covered
out of a total of around 600 districts.
Pointing out that it was an “intricate process” to provide block-level weather information and
generating agro-meteorological advisory, he said district agro-meteorological units would be
opened together with the Krishi Vigyan Kendras (KVK) of the Agriculture Ministry.
‘GOOD RAINFALL’
Dr. Rathore, who was here to take part in a regional coordination committee meeting, described
the pattern of rainfall during southwest monsoon as “so far, so good.”
At the all-India level, the departure from the normal was four per cent. In Tamil Nadu, it was 19
per cent.
As for the forecast for northeast monsoon [which primarily benefits Tamil Nadu], Y.E.A. Raj,
Deputy Director General of Meteorology, said better outlook would be available by the first week
of October.
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Farmers demand cooperative societies to extend loans for allied activities
Tiruchi district farmers have appealed to primary agricultural cooperative societies (PACS) to
extend assistance for allied activities also, besides agriculture.
Participating in a special meeting organised by the Tiruchirappalli District Central Cooperative
Bank to hear agriculturists’ grievances here on Wednesday, leaders of farmers’ associations
said that there was a need to provide loans for sinking bore wells, deepening wells and buying
milch animals, besides crop loans. S. S. Govindan of Desiya Uzhavar Sangam and Mani of
Uyyakondan Paasana Vaikkal Uzhavar Mandram said that the societies should extend loans for
allied farm activities.
The State president of Tamil Nadu Vivasayigal Sangam, Masilamani, appealed to the apex bank
to send a circular on the terms and conditions for sanctioning crop loans to all primary
agricultural cooperative societies and representatives of farmers’ associations. The State
president of Tamil Nadu Eeri Matrum Aatru Paasana Vivasayigal Sangam, Viswanathan, called
for the immediate sanction of loans for sugarcane harvest on receipt of applications.
The meeting was convened by the district central cooperative bank to mitigate the hardships
faced by farmers in the distribution of loans, seeds and fertilizers through primary cooperative
societies, according to an official release. The suggestion for an exclusive meeting was made
by the Collector, Jayashree Muralidharan. The Managing Director of the bank, M. Mirunalini,
appealed to the farmers to contact the Chief Revenue Officer, S. Parthiban (mobile phone
94893 03858), if they faced any problems in obtaining loans. The government had fixed a target
of Rs.180 crore for disbursal as crop loans by the bank during the current year, she said.
Farmers were assured that their request for effecting a change in period of repayment for
medium term loans and loans taken for banana crop would be forwarded to the Registrar of
Cooperative Societies for consideration. Leaders of farmers’ associations, progressive farmers
and officials of departments of agriculture and revenue participated . T. Prabaharan, GM,
welcomed the gathering.
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Onion prices: CM offers to bail out Centre
With zooming onion prices tormenting UPA again, Maharashtra Chief Minister Prithviraj Chavan
has offered to the Centre special facilities to improve supplies from the state.
"I have told Delhi that arrangements to improve supplies from the APMC market in Vashi could
be made," the CM said.
Maharashtra is the biggest supplier of onions in the country, with over 50 per cent of the onion
stock available for consumption being stored in state godowns. Onions were being sold at the
wholesale rate of Rs 40 per kg at the Vashi market on Thursday.
Retail prices have soared due to delays in supply of fresh crop from Karnataka and Andhra
Pradesh, besides hoarding by traders and speculators.
Though Chavan warned of "strict action against traders and speculators found hoarding onions",
he said nothing could be done to stop onion-producing farmers from holding on to their produce
for better returns. "The government itself has been encouraging farmers to create storage
facilities," he said.
Meanwhile, NCP blamed ally Congress for the price rise. "Food and Public Distribution minister
K V Thomas's delay in allowing onion imports has resulted in the price rise," state NCP
spokerperson Nawab Malik said. The state Congress, however, refused to react, with
spokesperson Sachin Sawant just saying he saw no merit in NCP's criticism.
Sandeep Ashar
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Nitish Kumar seeks Rs 12,000 crore as drought relief from Centre
In Bihar, 33 out of 38 districts have been decalred drought-affected by the state government
Bihar Chief Minister Nitish Kumar on Thursday demanded Rs 12,000 crore from the Centre as
relief fund for the drought situation in 33 of the total 38 districts of the state.
Kumar, at Delhi on a two-day visit, made the demand during his meeting with Finance Minister
P Chidambaram, also asking a central team to visit Bihar in order to assess the situation.
Kumar is scheduled to meet Prime Minister Manmohan Singh on Friday over the issue.
Bihar government had Wedneswday declared 33 of the total 38 districts in the state as drought-
affected.
Kumar said his government is keeping a watch on the situation and if required, the remaining
five districts will also be declared drought-affected.
He maintained that Monsoon has been 37 per cent deficient and the sowed crops in the state
are drying.
"We have informed them about our needs. We would want their (Centre) teams to visit Bihar.
We are giving them a paper in this regard. Today, I will meet the Agriculture Minister and
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tomorrow the Prime Minister on this issue," he said when asked what transpired during his
meeting with Chidambaram.
Asked about the amount of central assistance the state requires, Kumar said the amount
required as per the assessment made now is Rs 12,000 crore but "it may increase later when
the central team visits us."
"But now whatever broad assessment we have done, that we will give to to the Agriculture
Minister today and to the Prime Minister tomorrow. Today I have not given any paper to
Chidambaram, I just apprised him of the situation," he said.
Kumar will also deliver a lecture at an annual programme of the National Commission for
Minorities on Friday.
Second highest rainfall of season at 70.9 mm
On visarjan day, the Met department recorded 70.9 mm rainfall in the past 24 hours, making it
the second highest rainfall recorded for a day this season.
The department said from 8.30 am on Thursday morning till evening, another 0.2 mm rain was
recorded, taking the total to 71.1 mm till 5.30 pm on Thursday. However, the highest recorded
rainfall for a day this season was on June 16 at 72.7 mm rainfall.
"It is the second highest rainfall recorded for a day this season and though it is not unusual,
these heavy spells are very significant,'' said PCS Rao, director weather central of India
Meteorological Department, Pune office.
Thursday's downpour has taken the season's average to 715 mm rainfall, which is 217 mm
more than the normal mean deduced by the Met department for the month, said officials.
With the withdrawal of monsoon having commenced, the heavy downpour is slated to continue,
with the Met department stating that with a low pressure resting over Orissa and the upper level
cyclone extending up to mid tropospheric levels extending up to central Arabian sea,
widespread rainfall is expected over the entire Maharashtra. "With this condition, there is
possibility of isolated heavy rainfall over Maharashtra,''said Rao.
On September 11, the Met department had recorded 56.5 mm rainfall. With heavy
thundershowers all month, the September extreme, however, remains 132.3 mm recorded on
September 21, 1938. While on September 4, 2011, the Met department had recorded 81.2 mm
rainfall, while the previous years have seen the month getting 70-72 mm rainfall.
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Onion prices continue to remain high at Rs 70-80 per kg
WPI based inflation had risen for the third straight month to 6.1 per cent in August. Reuters
Onion prices in the national capital continue to remain high at Rs 70-80 per kg as supplies are
still under pressure.
Prices of the kitchen staple in Azadpur mandi, Asia's largest wholesale market, were ruling at
Rs 60 per kg today as supplies were below normal.
"Today, there was a marginal increase in the supplies of onion at 9,500 quintals, but that was
insufficient to bring down the prices," Onion Merchant Traders Association President Surendra
Budhiraj said.
Onions prices to ease in 2-3 weeks on fresh output: Sharad Pawar
He said the prices are likely to remain at this level for the next 10-15 days as most of the stored
quantities from last year's crop have been exhausted and fresh supplies from South India are
yet to reach the consuming states.
Cut-price onions crash attention-seeking Groupon website
Traders also attributed the rise in wholesale onion prices to increase in prices of the bulb in
Lasalgaon Mandi in Nashik, which sets the price trend across the country.
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At Mother Dairy outlets in the city, onions are being sold at Rs 65-67 per kg, while local vendors
are selling it at 70-80 per kg, depending upon the quality and location.
According to National Horticultural Research and Development Foundation data, prices of the
politically sensitive commodity at Lasalgaon in Nashik, slightly declined from Rs 58 per kg to Rs
56 per kg today.
Meanwhile, the Consumer Affairs Ministry had said in the status report on onions that prices are
under pressure as 90 per cent of stored onions from last year's crop are exhausted and only 3-4
lakh tonnes are available for consumption.
Wholesale Price Index (WPI) based inflation had risen for the third straight month to 6.1 per cent
in August, driven by a whopping 244.62 per cent jump in onion prices on an annual basis.
Onion: Export rate hiked, Centre directs states to take action against hoarders
Price of onion, a politically sensitive commodity in India, has skyrocketed in recent months (AP)
Worried over rising onion price, the government on Thursday hiked the benchmark price for its
exports by 40 per cent to USD 900 per tonne for augmenting domestic supply of the vegetable,
even as Agriculture Minister Sharad Pawar said rates would ease in the next 2-3 weeks.
Related: Onions behind Groupon website crash
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Notwithstanding onion prices skyrocketing, Food and Consumer Affairs Minister K V Thomas
ruled out the possibility of declaring onion as an essential commodity, while Pawar, who is also
the NCP Chief, said his party was not responsible for hoarding onion in Maharashtra.
Middlemen behind high price of onions: Salman Khurshid
The decision to raise the minimum export price (MEP) to USD 900 per tonne from USD 650 per
tonne comes in the backdrop of retail prices soaring to Rs 70-80/kg, after dropping to Rs 50-55
per kg a week ago from the same high level.
"Exports of all varieties of onions will be subject to an MEP of USD 900 per tonne," the
Commerce Ministry said.
After a fresh MEP was imposed on exports on August 14, exports in the same month came
down to 29,000 tonnes from over a 1 lakh tonnes in the previous month.
When asked about high onion prices, Pawar told PTI: "After talking to farmers and traders, my
own assessment is that arrival of new kharif crop will increase substantially in next two-three
weeks and prices will come down."
He stated domestic supply would improve as imports have started while exports have fallen.
Asked about reports that blamed NCP for hoarding onions in Maharashtra, Pawar said: "How
can NCP be responsible for hoarding? It is a foolish statement. NCP people are elected on the
agriculture produce marketing committee, which has the job of looking into arrivals and
auctioning."
The Centre has asked states to crack down on speculators and hoarders to check prise rise, but
state governments could do little as the commodity is not under the purview of the Essential
Commodity Act, a senior government official said.
Asked if the Centre is mulling placing onion back in the list of items covered under the Essential
Commodities Act, Thomas said: "No plans to include onion in this category." States have other
powers and influence to crack down on hoarders and speculators, he added.
Onion, a politically sensitive item, was deleted from the list of the Essential commodities Act
(ECA) in 2004, following satisfactory production and stable prices.
Earlier, there were 130 commodities under the Act. Gradually, the government reduced the
number in the list to seven including drugs, fertiliser, food stuffs like edible oil and petroleum and
petroleum products.
The Essential Commodities Act was enacted to ensure easy availability of essential
commodities to consumers and to protect them from exploitation by unscrupulous traders.
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Onion prices have surged in both wholesale and retail markets across the country. In the
national capital, onion is is being sold for Rs 70-80 per kg compared to Rs 22 per kg a year
earlier.
Pawar said the rise in onion prices has contributed to inflation, while prices of other food items
such as rice and wheat have been stable.
Stating that onion prices are under pressure now due to heavy rain, Pawar said: "Harvesting of
early kharif crop in Andhra Pradesh and Karnataka has begun, but rain has caused
transportation problem."
Similarly, in the Nasik belt of Maharashtra, farmers are facing harvesting problems due to rain.
Pawar said the arrival of new kharif crop, which normally starts in the October-November period
in Maharashtra and other states, will improve the supply and price situation in the next two-three
weeks.
Thomas, who met Pawar today to discuss onion prices, said there is not much difference in
arrivals in various markets at present compared to that earlier this month.
"Arrival of onions is good. Our calculation is that prices will come down by end of this month or
early next month," he said.
Thomas said farmers are holding back stocks in Maharashtra, which has a better storage
capacity, in anticipation of better prices.
States have been directed to take action against hoarders.
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Weather
Imports from Pakistan to curb onion prices in Mumbai
Days after onions from Egypt were brought into the wholesale Agriculture Produce Market
Committee (APMC) in Vashi, a fresh batch of 500 kg of onions arrived from Pakistan on
Thursday. However, the price of the rapidly dwindling commodity has not come down.
Traders, however, felt that just like the onions from Egypt, the new consignment was of poor
quality.
The onions from Pakistan are selling at Rs52-54 per kg, which is about Rs6 to 8 less than that
of the local stock. The new arrivals are also significantly smaller in size.
21
“We are expecting the supply to increase with the arrival of new stock from Nashik and Pune in
October. It is possible that the price of regular onions may come down in the next two weeks,”
said Ashok Walunj, APMC director
Walnuj said that though APMC’s old stock of onions has exhausted, new arrivals from Pakistan,
Egypt or even Karnataka will do little to affect local prices.
“These onions do not match up to the regular Indian onions. Though the other onions are priced
lower they have few takers, and hence the price of onions continues to remain high” he said.
Onion prices, which were Rs70 per kg, have been hiked to Rs80 per kg in some areas.
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Hot startup: Barrix Agro Sciences helps farmers cut costs by replacing pesticides
Pheromones developed by Barrix are smelling agents that attract pests. Instead of eating crops,
pests are attracted to pheromones in the traps. In pic: Lokesh Makam, founder, Barrix Agro
Sciences.
Rallapalli Jagannatha Reddy, a 32-year-old farmer in rural Andhra Pradesh, is a happy man.
The returns from his watermelon and muskmelon crops have increased significantly, allowing
him to send his children to English medium schools and also buy a television and a two-
wheeler, among other things.
Even a couple of years ago, Reddy had struggled to make ends meet. This change in fortunes
came largely because of his switching to pheromone-based pest control traps made by
Bangalore-based startup Barrix Agro Sciences.
"I used to face heavy losses. The fruit flies would create holes in the fruits and I would get
negligible returns," says Reddy, who now grows three crops of watermelon and muskmelon a
year and pockets a profit of Rs 50,000 on each. He used to earlier spend about Rs 50,000 on
pesticides and fertilisers for each crop. But now he just shells out Rs 2,000 for 20 boxes of
Barrix pheromones for his two-acre field. "The problem with pesticides is that besides being
expensive, they would be washed away by the rains."
The pheromones developed by Barrix are artificially synthesised smelling agents that attract
pests. Instead of eating the crops, the pests are attracted to the pheromones in the traps. Reddy
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is among the 15,000 farmers in 16 districts across Andhra Pradesh, Tamil Nadu and Karnataka
that are using Barrix's products. "We are getting good feedback from farmers," says G Srinivas,
a government agricultural officer at in rural Andhra Pradesh. He pointed out that the
pheromone-based product reduced the damages in mango yields by 50%.
"Instead of treating the symptoms, we eradicate the root cause," says Lokesh Makam, 37-year-
old founder of Barrix. An MBA in pharmaceuticals management, Makam worked for companies
such as RanbaxyBSE -4.91 %, DaburBSE 0.59 % and Himalaya before cofounding the firm with
personal savings of Rs 23 lakh, along with Mayil Vaganan in 2011. Crop losses due to pests in
India almost touch Rs 120,000 crore annually, according to government data. The pests are
controlled by spraying chemical pesticides worth Rs 35,000 crore annually.
3,200 to install in each hectare, are much cheaper than the pesticides. Also, they are not
hazardous and do not contaminate the ground water and soil. Barrix's cofounder Vaganan, 40,
worked at pharma majors like Cadila Pharmaceuticals and Ranbaxy, before changing his focus
to agriculture.
It was not easy. Initially, Makam had to struggle to make way through the red-tapism in the
agricultural sector. Also, while it is easy to sell pesticides, Barrix had to pay sales tax of 14% in
Karnataka and 5% in Andhra Pradesh. Besides that, they found it very difficult to get funding.
"When we invested in the firm, it was already earning significant revenues which was
remarkable to achieve in a short time frame," says Jinesh Shah, cofounder of Omnivore
Partners—an early-stage fund that backs agriculture companies. Shah, who invested an
undisclosed amount in Barrix in June, is of the view that the company has been able to crack
the market because of its superior products
Besides developing products to protect fruits and vegetables, Barrix has moved up the value
chain by making plant-based organic products that protect crops from fungi and bacteria.
Besides expansion in domestic markets, it is now also planning to tap foreign markets like the
US and Europe. It expects to achieve revenue of Rs 200 crore in next five years.
"Rural marketing is tough, even the government buses don't go to the places where we sell our
products," says Makam.
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Onion: Export rate hiked, Pawar says prices to ease 2-3 weeks
Onion: Export rate hiked, Pawar says prices to ease 2-3 weeks
NEW DELHI: Worried over rising onionprice, the government today hiked the benchmark price
for its exports by 40 per cent to $ 900 per tonne for augmenting domestic supply of the
vegetable, even asAgriculture Minister Sharad Pawar said rates would ease in the next 2-3
weeks.
Notwithstanding onion prices skyrocketing, Food and Consumer Affairs Minister K V Thomas
ruled out the possibility of declaring onion as an essential commodity, while Pawar, who is also
the NCP Chief, said his party was not responsible for hoarding onion in Maharashtra.
The decision to raise the minimum export price (MEP) to $ 900 per tonne from $ 650 per tonne
comes in the backdrop of retail prices soaring to Rs 70-80/kg, after dropping to Rs 50-55 per kg
a week ago from the same high level.
"Exports of all varieties of onions...will be subject to an MEP of $ 900 per tonne," theCommerce
Ministry said.
After a fresh MEP was imposed on exports on August 14, exports in the same month came
down to 29,000 tonnes from over a 1 lakh tonnes in the previous month.
When asked about high onion prices, Pawar told PTI: "After talking to farmers and traders, my
25
own assessment is that arrival of new kharif crop will increase substantially in next two-three
weeks and prices will come down."
He stated domestic supply would improve as imports have started while exports have fallen.
Asked about reports that blamed NCP for hoarding onions in Maharashtra, Pawar said: "How
can NCP be responsible for hoarding? It is a foolish statement. NCP people are elected on the
agriculture produce marketing committee, which has the job of looking into arrivals and
auctioning."
The Centre has asked states to crack down on speculators and hoarders to check prise rise, but
state governments could do little as the commodity is not under the purview of the Essential
Commodity Act, a senior government official said.
Asked if the Centre is mulling placing onion back in the list of items covered under the Essential
Commodities Act: Thomas said: "No plans to include onion in this category." States have other
powers and influence to crack down on hoarders and speculators, he added.
Monsoon rains display weakness on retreat
Monsoon rains display weakness on retreat
NEW DELHI: Monsoon looks a week or so ahead of schedule as next week's rains are again
expected to be below average, but key summer crops have already had ample rainfall and
should help to produce bumper harvests.
26
The Indian government is relying on higher farm output to help ease inflation and boost
agricultural growth in one of the world's biggest food consumers and producers.
Rainfall was 25 percent below average in the week ending Sept. 18 compared with a 37 percent
shortage the previous week, the weather office's latest data showed on Thursday.
The monsoon has already receded from the grain basket area of northwest India and rains
would further slacken next week in other parts of the country, weather officials said.
Rains will largely be confined to the central and southern parts of India next week, said B.P.
Yadav, director of the state-run India Meteorological Department.
But rains at the tail end of the season will boost yields of rice, sugar cane, soybean and cotton,
and also help growers cut their irrigation costs further.
The monsoon, vital for the 55 percent of farmland in India that does not have irrigation, usually
starts retreating from western Rajasthan state by mid-September. This year, it started to fall
back from Sept. 9.
Patches of heavy rains recently have prompted some fears of vegetable crop damage in south,
central and western India and stalled planting of onions, triggering hefty price rises that helped
push food inflation to 18 percent in August, a three-year high.
India, one of the world's biggest producers and consumers of an array of farm commodities,
heavily relies on annual monsoon rains to produce rice, corn, sugar, oilseeds and cotton.
Bountiful rains are expected to accelerate farm production growth.
"More rains will help double farm growth, as last year's drought-hit areas of southern and
western India have received ample monsoon splash this year," said Prasoon Mathur, senior
analyst at New Delhi-based Religare Commodities.
27
C. Rangarajan, Prime Minister Manmohan Singh's economic adviser, has forecast 4.8 percent
farm growth in agricultural and allied activities in the current fiscal year to March.
The sector grew 1.8 percent in 2012/13, affected by poor rains that had caused droughts in six
states, though the overall monsoon season in 2012 evaded a widespread drought.
Mathur said food prices would also start falling from next month when harvests reach the
market.
Ample rains will lead to good soil moisture, raising prospects for higher output of winter-sown
crops such as wheat and rapeseed.
Since June 1, when the four-month monsoon season began, rains have been 4 percent above
average.
No plan to declare onion as an essential commodity: K V Thomas
K V Thomas today ruled out declaring onion as an essential commodity even as its retail prices have
soared to Rs 70-80 a kilogram in most parts of the country.
NEW DELHI: Food and Consumer Affairs Minister K V Thomas today ruled out
declaring onion as an essential commodityeven as its retail prices have soared to Rs 70-80 a
kilogram in most parts of the country.
Though the Centre has asked states to crack down on speculators and hoarders to check
28
spiraling prise of onion, state governments could do little as the commodity is not under the
purview of the Essential Commodities Act, a senior government official said.
When asked if the Centre is mulling placing onion back in the list of items covered under the
Essential Commodity Act: Thomas told PTI: "No plan to include onion in this category."
The state governments have "other powers and influence" to crack down on hoarders and
speculators, he added.
Onion, a politically sensitive commodity, in 2004 was deleted from the list of items covered
under the Essential Commodities Act following satisfactory production and stable price trend.
Earlier, there were 130 commodities under the Act. Gradually, the government reduced the
number of items in the list to seven. The list now includes items like drugs, fertiliser, food stuffs
including edible oil, and petroleum and petroleum products.
The Essential commodities Act was enacted to ensure easy availability of essential commodities
to consumers and to protect them from exploitation by unscrupulous traders.
Create 50 grain storage facilities for food law: MS Swaminathan
Swaminathan said the government will require 64 million tonne foodgrain every year to fulfil the
commitment under Food Security Law.
NEW DELHI: In order to implement the Food Security Law smoothly, the government should
create ultra- modern foodgrain storage facilities - each with a million tonne capacity - at 50
locations across the country, noted agriculture scientist M S Swaminathan said today.
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Outlining the challenges facing Indian agriculture, he also suggested that food losses and
wastages should be eliminated or minimised at production as well as consumption levels to
ensure food security for people. Swaminathan said the government will require 64 million tonne
foodgrain every year to fulfil the commitment under Food Security Law, recently passed by the
Parliament, that provides for 5 kg of foodgrain per month per person to 67 per cent of the
country's population at Rs 1-3 per kg. "There should be national grid of grain storage. In 50
different locations, including north-eastern region, develop ultra-modern storage with a capacity
of one million tonnes each," Swaminathan said, while addressing Agriculture Leadership
Summit organised by Agriculture Today magazine.
He noted that right to food can be implemented only with the help of farmers. "We have to turn
our attention from files to farmers".
Stating that there is "no time to relax" as farm sector faces many challenges, Swaminathan said
the post-harvest management has not kept pace with the increase in production.
He pointed out that one-third of global food production is lost or wasted and emphasised on the
need to minimise or eliminate food losses at production level and reduce wastages at
consumption stage.
Swaminathan also expressed concern over high degree of malnutrition both globally and India.
Speaking at the event, Textile Minister K S Rao said there is great injustice being done to the
farming community in the pricing policy of the agriculture produce and demanded a new, more
remunerative policy.
The minister expressed concern over the widening disparity between the income of farmers and
urban people.
Rao suggested that there should not be any interest on the farm loan.
"Status and respect of farmers is going down. How long it will go on," Rao asked, adding that
nobody speaks for farmers in Parliament, while lobbyists are there for industrialists. BJP
leader Murli Manohar Joshi spoke about protecting bio-diversity of Indian agriculture and
30
cautioned against becoming dependent on one particular seed. "We need to determine the
importance of agriculture in our economy. We have to think about agriculture policy," Joshi said,
adding that the policy should take into account the land, water, seed, productivity and bio-
diversity. "Farmers should get seeds, fertilisers and pesticides," he said, emphasising upon the
need of investment and research in the agriculture sector.
The BJP leader also stressed upon the need for producing bio-fertilisers and bio-pesticides to
reduce imports and rein in current account deficit.
Sugar moves down by 0.78% in futures trade on higher supply
At the National Commodity and Derivatives Exchange, sugar for delivery in September fell by Rs 23 to Rs
2925 per quintal in open interest of 1750 lots.
NEW DELHI: Sugar prices moved down by 0.78 per cent to Rs 2,925 per quintal in futures
trading today as speculators offloaded their positions on expectations of higher supplies from
producing areas.
At the National Commodity and Derivatives Exchange, sugar for delivery in September fell by
Rs 23 or 0.78 per cent to Rs 2925 per quintal in open interest of 1750 lots.
Similarly, the sweetener for delivery in October fell by Rs 6 or 0.21 per cent to Rs 2920 per
quintal in 10,390 lots.
Market analysts said speculators offloading their positions on expectated higher supplies from
producing areas mainly kept pressure on sugar prices at futures trade.
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Food prices rose 157% between 2004 and 2013
Onion prices have increased by an incredible 521% since 2004.
NEW DELHI: If you were to ask any random aam aadmi anywhere in India what is the single
biggest failing of the UPA, the answer would be -price rise. This is so because the most
important items of family spending - food items - have relentlessly risen for the past several
years despite repeated promises to bring them down by the economic mandarins and policy
wonks that run the country's economy. Poorer families have had to stop eating various foods in
order to save crumbling family budgets.
Between 2004 and 2013 food prices in general rose by 157%. But when you get into the nuts
and bolts the real pain becomes starkly clear. India is the second largest producer of vegetables
in the world. Yet chronic supply shortages coupled with serial hoarding has led vegetable prices
to shoot up by a deadly 350% in that period.
Onion prices have increased by an incredible 521% since 2004. And it's not a smooth even rise.
There were times when onion prices doubled, even tripled within weeks and then subsided after
a few weeks of rampage. This happened in the winter of 2010-11. And it is happening again
now with onion prices touching Rs 70-80 levels in most parts of the country.
This has happened with other key staples also like potatoes. In the second half of 2009 potato
prices zoomed up by almost 100% and it was only in January 2010 that the levels came down.
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Other vegetables have followed their own mad ways - brinjal for instance is 311% costlier now
than in 2004, and prices of the lowly cabbage have risen by a jaw dropping 714%. Various
vegetable prices are in fact at all time highs.
The hike in vegetable prices hit poorer families especially hard because earlier, starting 2006,
another staple of families had been knocked out of thalis. This was pulses, the single biggest
source of protein in largely vegetarian India. Their prices rose steadily 2005 onwards and by
2010 they had more than doubled. Then again they increased in 2012 and reached an all time
high in September last year. There has been a slight decline since then but even then prices are
123% higher than 2004.
What about other key food items? Milk prices have increased by 119%. Egg prices have gone
up by 124%. Spices and condiments have increased by 119%. Sugar has increased by 106%.
Even salt, an essential of most cooked food has increased by 85% in the past decade.
Prices of the two staple cereals of India, rice and wheat, have increased by 137% and 117%,
respectively. Remember, India has seen record harvests for a series of years and except for
2004 and 2009, monsoons have been good generally. So mass produced crops like wheat and
33
rice which demand high water inputs have not been subject to the usual weather depression.
Even fruit prices have increased by 95% despite bumper crops of many popular fruits like
bananas, mangoes, oranges and papaya.
These are the wholesale prices. What the aam aadmi gets at the local shop has more jacked up
prices. But if the wholesale prices have risen so dramatically, imagine the real prices you pay
for.
Strangely, principal political parties gearing up for elections next year seem to be indifferent to
this continuing decimation of family budgets. It will be a very angry voter that they will face at the
hustings.
Onions from Egypt, Pakistan fail to cool 80 a kg prices, Mumbaikars blame hoarders
MUMBAI: The Centre's kneejerk move to import onions from Egypt, Afghanistan and now
Pakistan has had no impact on retail prices that hit the season's high of Rs 80 a kg on
Thursday.
Rather than procure tasteless, yellow onions from neighbouring countries at a premium,
Mumbaikars wish the government would crack down on hoarders and profiteers who take cues
from politicians' statements and hold stocks.
"The arrival of small quantities of onions fromEgypt and Afghanistan in Navi Mumbai or Amritsar
neither mitigates the woes of consumers nor poses a threat to hoarders. These bulbs are bland
and soft, far inferior to the red Nashik variety. Yet people have to pay Rs 60 a kg for them. It is
surprising to see the state seek international remedies for the homegrown scourge of hoarding .
Why doesn't it force farmers and wholesalers to release stocks?" asked R Ganasekar, a
resident of Navi Mumbai.
Twenty-one truckloads of Pakistani onions reached the market on Thursday, soon after 45
vehicles had arrived from Hubli, Karnataka. The wholesale rate in Vashi APMC was Rs 45 for
new onion and Rs 60 for the preferred old variety.
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Retail rates stood at Rs 70-80 a kg across Mumbai and Thane. "Each vendor claims his
produce is of the best quality so it costs more. There is no visible shortage or rationing but
prices are high," said Shareen Amin of Jogeshwari , where the bulb was priced at Rs 75 on
Thursday over Rs 68 on Tuesday.
Retailers allege that wholesalers in APMC are mixing inferior onions while charging for premium
quality produce. "Local distributors like us are shown samples of best produce for a high price,
say, Rs 65-70 a kg. Once we place an order, though, low grade onions are mixed with it before
our very eyes. We are not allowed to choose. If we protest, they start emptying the sacks asking
us to take it or leave it," said a retailer from Bandra.
He alleged bulk buyers must pay a fee to get the consignment weighed, Rs 5 for the first bag
and Rs 10 for every sack that follows. This additional cost is passed on to the consumer.
APMC director Ashok Walunj, though, said this fee is levied by mathadi workers as part of the
loading process . "Do you not pay the porter at the railway station to carry luggage? Doesn't he
weigh it in order to determine the fee?"
Walunj said wholesale rates would drop to Rs 40-42 with the arrival of around 25-30 tonne on
Friday. "We convened a meeting of the 500-odd traders at APMC and advised them to source
from Karnataka until the Lasalgaon crop comes," he said.
Times view
The public has seen through these cheap gimmicks. Mumbaikars are not really interested in
knowing the origin of the onions in the market; they would rather buy them at a lower, more
reasonable price. The government should do something to bring down the retail price instead of
indulging in this tokenism.
High prices cut onion use by 40%
AHMEDABAD: Rising onion prices are keepingAmdavadis away from the vegetable, so much
so that the Agriculture Produce Market Committee(APMC), Ahmedabad city, has registered a
35
fall of 40% in onion sales in the city. The APMC is the city's wholesale agriculture market.
People of Ahmedabad used to consume around 150 tonnes of onion a day but this is now down
by 40% as witnessed in the wholesale market. Even the hotel industry has cut onion use by 15-
20%.
Around 45 trucks of onion came to the city in September last year. This has come down to just
25 trucks in the same month this year.
Officials said on Thursday that the 25 trucks which had arrived were from Maharashtra,
Karnataka and Andhra Pradesh. Only one of these trucks had come to APMC, Ahmedabad from
Saurashtra. Traditional arrivals from Bhavnagar area have not come. The new crop which
arrived on Thursday was from Rajkot and Gondal, areas new to onion cultivation, said Raikumar
Kishanchand, a trader at APMC, Ahmedabad.
Deepak Patel, secretary of APMC, Ahmedabad, said arrival of the new crop had started but its
quality is not good. "Onions from Saurashtra will start coming only after Navratri and the market
will begin to stabilize only after that. But prices will be down by Diwali," Patel said.
Haresh Karamchandani, a big trader, says that onion prices on Thursday were down as
compared to Wednesday.
"The price of onion from Maharashtra was about 55-60 per kg. However, as the quality of onion
from Karnataka was not good, its price was around 40-45 per kg," said Karamchandani. He
further said that the price in Nasik market was Rs 58 per kg on Wednesday but it had come
down to around Rs 52 on Thursday. He predicted further fall of 10-15% in onion prices in the
next one or two days. He admitted that consumption had gone down by 30-40 per cent.
Reacting to rising onion prices, R P Gupta, principal secretary, civil supply department, Gujarat,
said that onions are not an essential commodity yet.
"If the Union government declares it an 'essential commodity', only then can we act against the
36
traders or supplies. Most of the onion comes to Gujarat from other states were we don't have
any authority,'' Gupta said.
Natubhai Prajapti, a vegetable seller, said onions are currently priced at Rs 90 per kg. "But it is
hard to sell 10 kg in a single day. This was mainly because domestic buyers are avoiding it,"
Prajapati said.
Onions sell at rS 60 per kg in Bhubaneswar
BHUBANESWAR: After a gap of one month onion prices have once again hit the roof selling at
up to Rs 60 per kg on Thursday.
The Centre has directed all state governments to take action against traders and speculators
who are taking advantage of seasonal shortage to artificially hike the prices of essential
commodities.
However, food supplies and consumer welfare minister Pratap Keshari Deb said, "I have not
received any letter from the Centre regarding price check of onions."
In July, the state government had taken several measures like selling onions at subsidized rates
at fair price shops and through public distribution systems after the price of the vegetable
soared to Rs 60 per kg. However, its sale at subsidized rates was stopped after the price
receded to Rs 45 in mid-August.
"Currently we are selling onion at subsidized rates only in Maitree shops run by food supplies
and consumer welfare department," said district civil supply officer Amar Kumar Mohapatra.
"The price of onion has been fluctuating for the last few days and we are planning to sell it at
subsidized rates at more shops in the city within a day or two," Mohapatra added. He also ruled
out any shortage in supply of onions and said that its arrival from other states has increased in
the last few days.
Santosh Kumar Sahu, a trader in Unit-I market said, "Every year, price of onion increases during
rains owing to loss of crops in source states like Maharashtra, Karnataka and Andhra Pradesh.
37
But this year the price rise continues for a prolonged period. It has affected the business as
people have cut down onion consumption drastically."
At least 10 to 12 trucks carrying about 1200 quintals of onion reach the state capital every day.
"The prices may go up to Rs 100 during the festive season as there is a sharp rise in the source
point due to heavy rain and recent hike in diesel prices," said Debendra Mishra, a wholesale
vendor.
"We have reduced consumption of onion but that is not the solution," said Ranjita Mohanty, a
housewife.
'Pricy' onions go out of common men's food plates
BHOPAL: Sky-rocketing onion prices have left the city residents teary-eyed. At Rs 80 per kg
even food buffs are thinking twice about using onions in dishes. High prices have ensured the
onions go missing from the salad plates served complimentary at the hotels and restaurants.
Onion retailers in the state capital distressed by the dwindling stocks and erratic supply chain
are putting the blame on farmers alleging that they are hoarding onions.
"We sell the stock every day. We won't gain any profit out of hoarding. I don't know of traders
they may or may not be doing it but the farmers are surely behind present crisis. We retailers
used to buy 100 kg of onion from the traders but now if we manage to get 30 kilos then it's a
good day for us. Our major customers who give us a good buy are hotels, schools and colleges
but now all of them are tight fisted "said Yogesh Himani a retailer at Bhopal Navbahar Sabji
Mandi.
The hotels are now buying pumpkin from us as they are experimenting with chicken gravy with
pumpkin instead of onions. The schools and colleges which used to buy 2 quintal onions from
us have now restricted themselves to only 5 kgs, he said.
For the onion bidding which takes place in the morning, the highest bid is 40 kg for Rs 26,000.
We can purchase maximum 100 quintal from the trader but then in turn loads 5 to 6 trucks, said
38
a trader on condition of anonimity. Moreover the "mandi" is a Muslim's turf and they don't even
provide us Hindus with any information. They want that their children and relative should gain
the maximum profit, whether it's illegal licencing or stocking we retailers have no hand in this
said a retailer who wishes anonymity.
Traders have a different story to tell as they assure that the Bhopal have no more onions to sell
leave alone stocking.
"This is the worst situation we could be caught in. This is going to prevail for a month and in the
coming days the problem is going to perpetuate further. As far as I can tell you the traders are
not involved in hoarding. If the farmers are not ready to sell their stock then how can we stock
it? We buy it from the farmers for Rs 65 per kg and now we sell it every day" said Suresh Kumar
a trader at Bhopal Mandi.
Onion stock comes from Nasik and Bhopal. If this stock finishes then all of us are dependent on
the farmers only he added. For Mohammad Annaf an onion retailer at New Market, it's a
drought situation for the retailers' traders, farmers as well as the city.
"Just because the situation is bad the government is passing the buck and blaming us. But the
truth is that there are no onions in Bhopal. The onions are also traded to Bangalore, Delhi and
Kanpur. The farmers also can't be blamed as they sell out everything they have and the traders
work on commission so profit will they get for holding in the stock".
The situation is as such that the customers who used to buy 1 kg onions are settling for half a
kg.
Photo quotes
Madan Gupta, Vegetable Hawker, Bittan Market
We sell onions for Rs 70 per kg. We are incurring a huge loss; It appears as if the market is only
thriving on fruits and other vegetables. People are now abstaining from buying onions, they will
buy an extra kg of potatoes or ladyfinger but not onions
39
Laxmi Nirmal, Homemaker, Shalimar
It is becoming so difficult for me to maintain my kitchen budget. Even If a try to avoid using
onions in my dishes my children won't agree for the same. So, one way or the other the rising
price of the onions is affecting us.
Deepa Shinde, Homemaker, Chinar retreat
It seems as they are not selling onions but gold and silver. Till now we were robbed for our
valuables but now I think the thieves we will be come after our onions. Everything from petrol
prices to onions are increasing but our salary is stagnant. Is in these circumstances the crime in
the city also elevates.
Rekha Sharma, Homemaker, Chinar Fortune city
The sky rocket prices are proving a great pain in the neck for us. Thank God for this is the
festive season because we generally avoid eating onions and non-veg during this time. So we
should thank our gods and goddesses for providing g us some solace in this difficult time.
Dolly Tiwari, Homemaker and entrepreneur
This situation we are caught in right now is nothing but a pure case of black marketing. This also
a political gamer in which only the common man is at bargain.
Onion prices leave households teary-eyed
INDORE: Onions have in the true sense left households teary-eyed in Bhopal and Indore. At Rs
70 to Rs 80 per kg it has left a hole in the pockets of most families. While the traders and
retailers are having the last laugh, the Union and state governments have failed to take steps to
rein in prices of onions passing the buck on each other and blaming early monsoon as the
reason for skyrocketing onion prices.
40
Experts believe that onion price will continue to be at higher end for sometime now.
Onion is grown in the Nimar region of Madhya Pradesh it is hardly able to meet 30% of the
state's demand. The balance is sourced from the neighbouring state of Maharashtra from cities
like Nashik and Lasangaon. However, the problem was that Nashik region has been declared
as drought-prone leading to a fall in onion yield leading to an impact on the prices nationwide.
Last year, it was drought in Maharashtra which drove the price of onion and garlic, then this
year, it is heavy rains, which have caused the delayed arrival of onions at mandis. In fact, the
fresh arrival of onion for the current Kharif season was likely to start arriving at mandis from
October onwards.
There is no government intervention at all, when it comes to deciding of prices of onion. Rather,
it is being driven by a handful of traders. As a result, the price of onion is decided by betting,
rather than the actually existing market realities.
A wholesale trader of onion in Indore, Ajai Agrawal, said, "There are nearly 250 wholesale
traders in Indore city and they are involved in hoarding, black marketing and even speculative
trading. The only difference being that in absence of any control by the state government on
onion trade, the price of onion is often decided by a few big private players".
On a daily basis, 30 truckloads of onions arrive at Indore mandi. Each truckload can transport
16-20 tonne of onions, depending on the size of the truck. When it comes to hoarding, onion
traders normally keep 20 lakh kg of onions at warehouses and cold storages in Indore.
When it comes to Bhopal, the prices of onion are always higher than that of Indore. The reason
is Indore happens to be the wholesale onion market and it is transported to Bhopal from here,
so transportation cost adds to the price pushing the retail price up. However, the good thing is
that people in Bhopal get better quality onion, rather than their counterparts in Indore.
Onion trader, Rahul Chaudhary told TOI, "The existing stock of onion has almost exhausted and
only 10-15% of the existing stock is available for sale in Indore and Bhopal. It's why the price of
onion will continue to be on the up for some more time".
41
Even efforts to import onion from countries like Afghanistan, Egypt, Pakistan and China have
failed. "People living in the state prefer to have the domestic onion only thanks to its red colour
and bitter taste", adds Chaudhary.
Commenting on the issue of hoarding relating to onion, he said that as onion is a perishable
item, one can't hoard it for more than 2-3 months.
Senior technical officer at National Horticulture Research & Development (Bhopal), Nahar Singh
Yadav, says, 'Mandi traders are involved speculative trading of onion as they are not releasing
the stock at their warehouses and are waiting for the prices to go up further".
Normally, onion is grown by rich farmers who are not in urgent need of money and hence they
are involved in black marketing and hoarding.
A Bhopal-based economic analyst, Rajendra Kothari, says, "Once you provided the farmers with
kisan credit card, freeing them from the liquidity crunch, they find it easy to involve in such
practices".
Experts also believe that onion has been grown in ample quantity in southern states like
Karnataka and are available in local markets there at less than Rs 30 per kg. Still, the untimely
rain has prevented farmers from getting their produce to the mandis and sending them to other
parts of the country, which has also caused the price hike in Madhya Pradesh.
Good crop, but cane prices may hike sugar cost
LUCKNOW: Festive season is round the corner and sugar mills have dropped broad hints of
inability to operate this season because of high cane prices, in what may lead to a gap between
the demand and supply, hence escalated prices of sugar this festive season. In fact,
commission for Agricultural Costs and Prices (CACP) has expressed strong apprehensions
pertaining to the sugar industry in UP. In its latest report, the commission has hinted that sugar
production may go down dramatically because of large cane arrears, affecting the cost of sugar
nationally to some extent.
42
The observation of CACP comes at a time when state sugar mills gear up for crushing next
month with total cane arrears to the tune of over Rs 2,500 crore staring at them. Industry
watchers said if supply drops and demand keeps up pace there would be escalation in sugar
prices, essentially during the peak of the festive season beginning next month.
According to the report, the lack of alignment between the cost of raw material (sugarcane) and
the recovered price of the processing product (sugar) has led to record cane arrears in 2012-13.
The cane price arrears for the 2012-13 season touched a record RS 11,990 crore by April 15,
amounting to 21.2% of the total cane dues.
The commission drew a parallel with the situation prevailing in 2007-08 when the arrears
(22.9%) led to a sharp fall in cane production. The same situation, the commission observed,
has come to prevail this season as well and alerted of an impending downward cycle in the
sugar sector. The CACP noted further that the prices announced by UP government (Rs 280
per quintal) does not reflect any rational link either with the cost of sugarcane production to the
value of the sugar and its byproducts. The commission supported clearly the claim of sugar mills
owners that the statuary advisory price (SAP) in UP is on the higher side compared to what
sugar factories can afford, given the prices of sugar.
Director general of Indian Sugar Mills Association, Abinash Verma said the state was heading
for a Bihar like situation which witnessed a large number of closure of sugar mills in the recent
past. "There has to be a rational pricing policy at play for the industry to sustain itself," he said,
while speaking to TOI.
The UP Sugar Mills Association (UPSMA) clearly said they were not in a position to run the mills
at this rate. Director of Balrampur sugar mills, Vivek Sarogi, said there is a limit to the paying
capacity. "In the present scenario our paying capacity is only to the tune of around Rs 240 per
quintal. The industry is in dire need of help from the state government and we hope it would
come forward to rescue," he said. The UPSMA has also been demanding subsidy from the state
government to pay their arrears. "The government can pay it directly to the farmers or can route
through us. That can be done at least for a year to allow the situation to improve later in the year
as crushing begins," said Sarogi.
43
The UPSMA members insisted the prices of sugar are witnessing a dip this season. "There has
been a good crop in Maharashtra and Karnataka. State's stock is already full. There is an
additional stock of at least around 20 million tonnes that will help lower prices of sugar in the
festive season," a member said.
According to the CACP report, UP government increased prices of cane by around 19.3% in the
last three seasons (1010-11 to 2012-13) while the prices of sugar increased by only 2.6% during
the same period. The disconnect between the two prices has led to the precarious financial
position of sugar mills leading to accumulation of cane arrears. The sector, in turn, will become
unsustainable in the long run and lead to financial sickness. "Ultimately, this would lead to
demise of the sugar industry as has happened in Bihar," the report said.
President of Kisan Jagriti Manch, Prof Sudhir Panwar said that it is the question of input cost
incurred by the farmer which is more important. "Sugar industry has been getting some sops
from the state government in the past. Now it is time for the government to pay attention to
farmers," he said, adding "in any industry the price of final product is determined on the basis of
the raw material but the sugar industry is advocating for the opposite. They want to transfer
business risk and profit to the farmers."
A Crushing Crisis
* The sugar mills have not spelled out their cane requirement past the due date of September 6
in what may delay the cane crushing season and force farmers to resort to distress selling.
* There was a possibility of cane growers either burning sugarcane or selling it off at a price
much lower than the state advisory price (SAP) of Rs 280 per quintal. Process of fixing new
SAP for 2013-14 too has yet to begin.
* UP Sugar Mills Association has been seeking state government's help to link sugar prices with
the cane price to make payment easier.
* Banks had refused to provide loans for the working capital. That affects the industry
functioning. The mills, which have yet to pay over Rs 2,500 crore to farmers for cane purchase
44
during 2012-13 are constrained by banks' reluctance to extend additional loans.
* 100-odd private sugar mills have told the state government that they would rather know the
cane price for the season before submitting their cane requirement for the year.
* The industries are reported to have told the state government that for the new season, they
can at best pay 14% less than last year's government-fixed price of Rs 280 per quintal. This
comes to around Rs 240 per quintal.
No state control on onion prices
Picture for representational purpose only.
Hyderabad: The arrival of fresh kharif onion stocks has failed to ease prices in the state. Instead,
these stocks are bringing relief to consumers in neighbouring states.
Thanks to traders and brokers in the state, who are procuring stocks from the farmers directly
and diverting them to neighbouring states, especially Karnataka and Tamil Nadu, to cash in on
45
the huge demand, onion prices continue to be exorbitant in the state, selling for Rs 60 a kg in
the wholesale market and Rs 70 a kg in the retail market.
Though the government can purchase onion stocks directly from the farmers through AP
Markfed and supply them at cheaper prices, it has been shying away from taking the
responsibility.
With the ongoing political turmoil, no one in the government, including civil supplies minister D.
Sridhar Babu or the marketing minister Mukesh Goud, has time to review the issue.
With Dasara and Diwali festivals around the corner, traders expect the onion prices to shoot up
further in the coming days if the government does not take effective measures to ensure
adequate supplies to the markets.
The government has been doing little to regulate onion prices for the last three months. It has
been just boasting of supplying onions for Rs 32 per kg in Rythu Bazaars.
But they are available only in limited Rythu bazaars for a limited time.
Those who stand in long queues for hours at Rythu bazaars are getting cheap quality onions.
Also, only 2 kg of subsidised onions are being sold to each consumer.
On the other hand, the onion crisis has been fetching huge profits to traders. They purchase
stocks from the farmers in Kurnool and Mahbubnagar for Rs 2,500 per quintal and selling the
same to other states for a profit of Rs 2,000 per quintal.
Though this has been happening openly, the government has confined itself to the role of a
spectator, leaving the hapless consumers in the lurch.
46
GBPUAT TO ORGANISE ALL-INDIA FARMERS’ FAIR FROM OCTOBER 4
The annual all India farmers’ fair and agro industry exhibition will be organised by the GB Pant
University of Agriculture and Technology (GBPUAT) at Pantnagar from October 4.
The primary focus of this annual fair will be on highlighting the modern techniques of
farming and encouraging the farmers to adopt new and scientific methods of farming, said Dr.
YPS Dabas, Director, Extension Education, GBPUAT, Pantnagar.
More importantly, good quality seeds and plants of the upcoming Rabi crop will also be made
available to the participants or the farmers in this farmer fair which will continue till October 7,
he added.
Apart from that, different colleges of the GBPUAT and agricultural institutions of national level
will also set up their stalls in this fair cum exhibition campus at Pantnagar to make the farmers
aware about the latest developments that have taken place in the agricultural sector, informed
the officials concerned.
At the same time progressive farmers particularly those who are interested in taking agriculture
loan may get necessary information about how to avail the loan schemes in this far as experts
from different nationalised banks and insurance companies will also be having their stalls in this
fair, Dabas further said.
In the meanwhile, we have appealed to the farmers to take part in this fair in maximum number
and make the most of this fair cum exhibition, the official said.
In order to provide proper transport facility to the participants we have also decided to make
available transport services between the Pantnagar and Haldi railway stations and the farmer
fair site at the university campus at Pantnagar, informed the official. To get more information
about this annual farmer fair, the farmers may also talk to the officials concerned of the
Pantnagar university on phone numbers i.e. 05944-233336 and 05944-234671, the officials
said.More importantly, the participants may also get necessary details about this fair from the
website- www.gbpuat.ac.in, they added.
47
KHARIF SEASON: 8.87 LAKH MT FERTILISERS DISTRIBUTED TO FARMERS
During the current kharif season, Chhattisgarh farmers have lifted total 8.87 lakh metric tonne
fertilizers – 5.50 lakh from co-operative societies and 3.37 lakh from private sectors.
According to information from directorate of agriculture, 4.62 lakh metric tonne urea, 98,352 MT
super phosphate, 66,755 MT potash, 1.80 lakh MT DAP and 80,000 MT NPK, so far
been distributed during the current kharif season.According to official sources, a target of
distribution of total 11 lakh metric tonne fertilizers during the kharif season has been set.
Out of which 7 lakh MT would be distributed through cooperative societies and 4 lakh MT
through private sectors.Against the target of 7 lakh MT fertilizers, as on September 16, the co-
operative societies have stored more than 6.5 MT in their godowns and distributed more than
5.5 MT to the farmers. Officers of agriculture department said that a target has been set to
distribute 3.15 lakh MT urea, 1.80 lakh MT DAP, 60,500 MT potash, 72,600 MT NPK and
70,000 MT super phosphate through cooperative societies during the current kharif season.
Out of which 2.80 lakh MT Urea, 1.34 lakh MT DAP, 35,500 MT potash, 45,000 MT NPK and
56,247 MT super phosphate have so far been distributed to the farmers. Similarly, total 3.26
lakh metric tonne fertilizers have been distributed to the farmers through the private sector.
48
Hands of traders’ network seen behind onion price surge
A network formed by commission agents and wholesale traders in Maharashtra and Karnataka
with wholesale traders outside their States could be behind the surge in onion prices, which
have currently zoomed to Rs 80 a kg at retail outlets.
This could be true if one were to go by the assessment of onion markets in a report submitted to
the Competition Commission of India last year after prices soared to Rs 100 a kg at retail outlets
in December 2010.
The assessment, prepared by the Agricultural Development and Rural Transformation Centre in
Bangalore, said the network operated covertly underusual marketing practices.
Almost all wholesale traders in Maharashtra and Karnataka got the information on the prices of
onion from contacting commission agents and wholesalers operating in various markets.
“This indicates the existence of strong networks not only in the market they are operating in but
also with market functionaries in distant markets,” the assessment said.
The centre’s team, which made field visits to Hubli and Belgaum Agricultural Produce Marketing
Committee (APMC) yards, witnessed price fixing and rigging of bids.
49
“The quantity and price of onion were decided over phone a day before the market opened,” it
said, adding that a major reason behind the collusion was the presence of big traders and
commission agents.
Giving an instance of collusion, the centre said that during its visit to Ahmednagar APMC,
bidding for a lot started at Rs 300 a quintal.
It went on until one trader quoted Rs 400 and another Rs 405. The commission agent stopped
the bidding and asked both of them to share the lot.
In Washi market, farmers complained that their produce was auctioned through a secret
bidding.
The assessment said that there were wide variations in the net margin or profit earned by
retailers across the country.
Retailers in urban centres such as Bangalore and Pune got much higher margins.
“Retailers from these centres not only benefited in terms of higher margin but also on account of
large quantity of sale,” it said.
Retailers mark-up over the wholesale market price was over 150 per cent in almost all major
centres during the crucial period in December 2010.
“The December 2010 episode was not simply demand (buyers) and supply (farmers) problem,”
it said, adding that export of over one lakh tonnes of onion during the period also compounded
the situation.
Drawing conclusions on its assessment, the centre said the trade was unilaterally dictated by
traders and not farmers.
Reasons for this were that the average farm size of onion growers was low and unfavourable
weather conditions and price risk for these small farmers resulted in a minimal role for them in
“price formation”.
Also, farmers look at local market rates for reference, while traders compared rates of all
markets, including distant and export, before deciding where to send the consignment. This also
put the growers at a loss.
It recommended that the Government should allow new commission agents and traders should
be encouraged through incentives such as new licences, provision of space for shop, storages
and other infrastructural facilities.
Licences of traders who hoard onion should be cancelled and no secret bidding of onion should
be done, it said and added that cooperative marketing societies must be encouraged to take
part in trading in order to avoid collusion among traders.
50
The assessment also called for a better system to forecast crop output and a national price
information system to disseminate price data.
Also, the National Agricultural Cooperative Marketing Federation should procure onion from the
market and not traders to bring in competition, it said.
It also called for changes in the APMC Act to plug loopholes in the supply chain.
Meet to discuss challenges in agriculture, food security
Challenges in agriculture, food security and the agricultural input industry will be discussed at a
conference on “Food Security and Sustainable Agriculture” here on September 21.
The conference aims to analyse the opportunities in the agriculture sector, particularly in the
Coimbatore region, said Ms Lakshmi Narayanan, Chairperson of the Conference and
Wholetime Director of T. Stanes & Co, which is the principal sponsor of the event.
Highlighting the significance of the event, she said: “The growing demand to feed India’s
population (projected to reach 9 billion by 2050) on a sustainable basis is a challenge, on the
one hand, while, on the other, it is pertinent to provide farmers with tools and resources to make
farming a more profitable and environment-friendly proposition.
“We need to achieve food security and a vision for India’s agriculture,” she said.
Emphasising the need for making Indian agriculture a sustainable and gainful proposition to the
farmer, she said:
“Today, 40 per cent of the farmers want to give up agriculture, as they feel that it is not a
rewarding proposition. We need to find ways to make farming a gainful economic activity.”
“The parameters of sustainable agriculture are higher productivity at competitive cost, good
agricultural practices, resource conservation and energy efficiency, fair labour practices, product
safety and purity among others.
“These have to be addressed and practiced in a more responsible way.”
Ms Lakshmi Narayanan told Business Line that she began the exercise four months ago.
There will be a session on “Challenges in Agriculture” at the meet, followed by one on the role of
the agricultural input industry in developing sustainable agriculture.
Around 200 delegates are expected to attend the conference, she said, adding that the CII-
TNAU partnership forum is being created to provide industry-academia linkage, such that all
stakeholders in agriculture are benefited”.
51
Jeera crackles on rising stocks, weak demand
Jeera ended flat on Thursday following rising stocks, weak demand and prospects of better
sowing.
“The trend is weak because stocks from the old season crop are high and sowing that will begin
during rabi season is seen higher due to ample rains.
On the National Commodity and Derivatives Exchange, the most active October contract traded
unchanged at Rs 13,400 a quintal, with an open interest of 11,712 lots.
At the Unjha mandi in Gujarat, spot prices decreased by Rs 12-15 to Rs 2,000-2,625 for
a maund of 20 kg.
Market sources said that daily arrivals have increased from 4,000-5,000 bags in the last week to
8,000-9,000 bags this week on selling by stockists.
Last week, spot prices have made strong gains on the account of export enquiries from West
Asia. A huge carryover stocks will lead to selling by stockists each time the price surges.
Total carryover stocks are currently estimated at 13 lakh bags, down almost 4-5 lakh bags from
the last year in the same period.
‘Speciality tea sale will be discontinued’
The planters in the Nilgiris apprehend that the auction for their winter speciality teas may not
continue.
They are attributing this to the Tea Board’s refusal to sponsor this year’s speciality auctions.
This issue figured at the 122 {+n} {+d} annual general meeting of the Nilgiri Planters’
Association (NPA) in Coonoor on Wednesday.
So far, four speciality auctions had been conducted and the Tea Board had sponsored all of
them except this year’s auction held in March.
“These auctions had given an opportunity to showcase Nilgiri orthodox speciality and premium
teas. The quantities offered had increased over the years. This year, as much as 2,720 kg of
orthodox speciality teas and 2,800 kg of premium teas were offered. The auction was held on
pan-India basis of e-auction platform which opened new vistas. Four lots fetched over Rs
10,000 a kg.
The average price was Rs 1,882,” said NPA Chairman Suresh Jacob.
“The downslide is the Tea Board declining to sponsor this auction despite our request for
financial grant as extended till last year. This has cast a heavy financial burden on us.
52
“The withdrawal of the support comes at a time when our market promotion exercise is showing
signs of bearing fruits.
“We have urged the Board to view our speciality auctions as promotional events and sponsor
this well-proven promotional activity.
“Without this support, we will not be able to take this forward.
“It will be a sad end to a very dynamic and farsighted marketing venture,” he said.
Floor price for onion exports hiked to $900/tonne
The Government on Thursday hiked the minimum export price for onions to $900 a tonne, from
$650 a tonne as part of its strategy to curb rising prices.
However, onion prices continued to move upward across key wholesale markets, indicating no
immediate respite for consumers across the country.
The prices of bulb are rising despite the increase in crop arrivals, mainly in Bangalore.
Onion is currently being harvested in Karnataka and Andhra Pradesh, where the recent rains
had hit transportation.
The Directorate General of Foreign Trade issued a notification on the hike in the floor price.
Trade sources said that the hike in export price floor would not mean much as Indian shipments
are unviable at current prices.
However, the Government’s latest move could help improve the market sentiment.
The latest hike in floor price for onion exports is the second such instance where the
Government has tried to curb overseas shipments. On August 14, the Government had imposed
a floor price of $650.
As a result of the minimum export price and the rise in domestic prices, onion exports had
slowed down considerably in August.
Shipments in August were 29,247 tonnes, a sharp drop from 1.56 lakh tonnes in July. In value
terms, exports in August stood at Rs 125 crore, down from Rs 439 crore in July.
Total shipments in the first five months (April to August) of the current fiscal were estimated at
6.97 lakh tonnes, valued at Rs 1,341 crore. In the corresponding period last year, exports were
over 8.5 lakh tonnes valued at Rs 842 crore.
Meanwhile, arrivals in the Bangalore market, currently the largest in terms of volumes handled,
were up at 6,151 tonnes, about 17 per cent higher than Wednesday’s 5,258 tonnes.
53
Despite the increase in arrivals, the modal price or rates at which most trades took place inched
up to Rs 4,000 a quintal from Rs 3,900 on Wednesday.
Similarly, in Hyderabad, the arrivals were up at 980 tonnes from Wednesday’s 727 tonnes.
However, the prices in Hyderabad softened to Rs 3,000 a quintal from Rs 3,500 a day earlier.
However, in markets such as Delhi, Lasalgaon and Pimpalgaon, prices eased marginally on
Thursday.
Earlier in the day, Agriculture Minister Sharad Pawar said that onion prices would ease in the
next two to three weeks on higher arrivals in Maharashtra and other States.
Spot rubber unchanged
Spot rubber continued to rule unchanged on Thursday.
There were no fresh factors to set a definite trend in the market and the prices finished flat
amidst scattered transactions.
Meanwhile, the key TOCOM rubber futures improved to a 10-day high as the US Federal
Reserve postponed a scale-back of its monetary stimulus.
Sheet rubber closed steady at Rs 186 a kg, according to traders.
The grade was quoted unchanged at Rs 186.50 at Kottayam and Kochi, by the Rubber Board.
The October futures concluded at Rs 182.75 (Rs 183.41), November to Rs 182.97 (Rs 182.96)
and December to Rs 184.85 (Rs 184.92) on the National Multi Commodity Exchange.
RSS 3 (spot) firmed up to Rs 166.25 (Rs 165.24) at Bangkok.
The September futures closed at ¥264.8 (Rs 165.92) on the Tokyo Commodity Exchange.
Spot rubber rates Rs/kg were: RSS-4: 186 (186); RSS-5: 182 (182); Ungraded: 176 (176); ISNR
20: 172 (172) and Latex 60%: 134 (134).
Hopes of rising demand may stop mustard from dipping further
54
Mustard oil ruled sluggish in Indore and other mandis across Madhya Pradesh, Rajasthan and
Gujarat on slack demand. In Indore, mustard oil on Thursday declined by Rs 5 to Rs 636.
In Rajasthan mandis also, mustard oil was traded lower on weak demand and buying support
with its prices in Kota and Ganga Nagar at Rs 640 each (down Rs 5), while in Jaipur it declined
by Rs 5 to Rs 655.
Besides slack demand, weak global cues and rise in arrival of new soyabean aided the sluggish
trend in mustard oil.
However, given expected rise in consumption ahead, any major fall in mustard oil prices
appears unlikely, said a trader Kailash Agrawal, adding that with rise in consumption in the
coming days, mustard oil prices may not decline beyond Rs 5-7 for 10 kg.
Mustard seeds ruled firm at Rs 4,100-4,250 a quintal (up Rs 50 from last week), while raida
ruled at Rs 3,000 (down Rs 100 from last week).
Amid adequate carryover stock and rise in arrival of new soyabean, demand in mustard seeds
continues to be on lower side, leading to sluggish trend in its prices.
According to Vinod Choudhary, a mustard seeds broker, any major correction in mustard seeds
appears unlikely as with winter season not very far away, demand for both mustard seeds and
oil are expected to go up.
Mustard seeds showed a mixed trend with its October and November contracts on the NCDEX
closing at Rs 3,500 (up Rs 100) and Rs 3,546 (down Rs 3).
Plant deliveries in mustard seeds for Jaipur line were quoted at Rs 3,645-50 (Rs 3,625-30 a
quintal last week) amid poor demand from the crushers.
Sugar flat as new crushing season approaches
55
Sugar prices on the Vashi market ruled steady at lower level on Thursday. Demand remained
stable at upper level as prices in other producing centres were on par, with Maharashtra
diverting upcountry buying to nearest centres.
Domestic futures market showed little recovery after initial loss on profit taking and short
covering
Sources said that eased demand as usual in middle month and fear of new crushing season to
start next month are forcing producers to sell sugar at current rates as they carry heavy surplus
stocks.
Arrivals in the Vashi market were 60-61 truckloads (of 100 bags each) while local dispatches
were 58-60 truck loads.
On Tuesday-Wednesday, 17-18 mills offered tenders and sold 48,000-50,000 bags at Rs 2,850-
2,940 (Rs 2,850-2,940) for S-grade and Rs 2,970-3,040 (Rs 2,970-3,040) for M-grade to local
traders.
Bombay Sugar Merchants Association's spot rates were: S-grade Rs 3,032-3,145 (Rs 3,016-
3,145) and M-grade Rs 3,156-3,292 (Rs 3,156-3,302). Naka delivery rates were: S-grade Rs
2,960-3,030 (Rs 2,960-3,030) and M-grade Rs 3,070-3,200 (Rs 3,070-3,200). Uttar Pradesh
rates were:Lakhimpur Rs 3,400 and Muzzafarnagar Rs 3,330.
Imported oils head south on currency movements
Strong domestic currency and weak foreign markets pulled down edible oils prices on Thursday.
Extended loss in Malaysian palm oil futures on back of strong ringgit following the US Federal
Reserve's decision to postpone any reduction in its bond-buying programme pulled down
palmolein and soyabean refined oil by Rs 6 and Rs 5 for 10 kg each in the domestic market.
56
Local refineries continued to slash rates for imported oils as strong rupee makes import
cheaper. Routine volume in middle month kept morale cautious, said sources.
A Mumbai-based broker said: “Extended loss in futures markets, new arrivals of oilseeds in
producing centres and strengthening of the rupee against greenback led prices down. New
arrivals have already started in producing centres and will increase in the coming days.
Secondly, Malaysia, has decided to keep its crude palm oil export tax for October at 4.5 per cent
which is left unchanged since March”.
Towards the day’s close, Liberty was quoting palmolein at Rs 555, super palmolein Rs 585 and
super deluxe Rs 605, soyabean refined oil Rs 635 and sunflower refined oil Rs 815. Ruchi
quoted palmolein at Rs 555, soyabean refined oil Rs 625 and sunflower refined oil Rs 810.
Allana was quoting palmolein at Rs 553, super palmolein Rs 610, soyabean refined oil Rs 627
and sunflower refined oil Rs 815.
In Rajkot, groundnut oil declined by Rs 10 to Rs 1,300 for telia tin and loose (10 kg) ruled steady
at Rs 850.
Malaysia BMD crude palm oil’s October contracts settled higher at MYR 2,322 (MYR 2,329),
November at MYR 2,318 (MYR 2,323) and December at MYR 2,317 (MYR 2,322. The Bombay
Commodity Exchange spot rates (Rs/10 kg) were: groundnut oil 860 (850), soya refined oil 625
(631), sunflower exp. ref. 740 (730), sunflower ref. 805 (810), rapeseed ref. oil 717 (717),
rapeseed expeller ref. 687 (687) cottonseed ref. oil 655 (656) and palmolein 554 (560). Vikram
Global Commodities (P) Ltd quoted Rs 612/10 kg for Malaysia super palmolein -forward
delivery.
Mixed trend in pepper futures
57
Pepper futures market witnessed a mixed trend on Thursday with the October contract gaining
marginally and the November and December contracts falling on limited activities and bearish
sentiments.
Arrivals in the spot market continued to remain thin. Only 10 tonnes of farm grade pepper
arrived and 11 tonnes of the material were traded at an average price of Rs 405-407 a kg.
Traders claimed that since the material arrived contained higher moisture (14-14.5 per cent), the
cost to reduce it to the permissible limits of 11-11.5 per cent would come to Rs 40 a kg, market
sources told Business Line.
On the NMCE, October contract increased by Rs 124 to Rs 43,580, while November and
December decreased by Rs 286 and Rs 64 to Rs 43,810 and Rs 44,050 a quintal.
Total open interest moved up by three tonnes to 42 tonnes. Total turnover fell by 27 tonnes to
21 tonnes.
Spot prices dropped further by Rs 100 to Rs 40,500 (ungarbled) and Rs 42,500 (garbled) a
quintal on limited activities and on bearish sentiments. Indian parity in the international market
has moved up on strengthening of the rupee against the dollar to $7,200 (c&f) Europe and
$7,450 a tonne (c&f) for the US.
Turmeric slides despite poor arrivals
Spot turmeric prices dropped despite arrivals being lower at a little over 2,000 bags on
Thursday.
“Arrivals decreased to 2,007 bags, but the price did not improve. Traders quoted lower price but
purchased 60 per cent stocks. Local traders have received a few orders from North India and
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they purchased limited quantity. Still traders and exporters are waiting for bulk demand from
North India,” said R.K.V. Ravishankar, President, Erode Turmeric Merchants Association.
Stockists also purchased about 200 bags of turmeric.
The price remained static same in the futures market and it was also unchanged in other
centres of Andhra Pradesh and Maharashtra.
So, traders expect that they may get orders from the North as Erode turmeric is noted for its
quality.
Due to arrival of quality hybrid turmeric, the price increased by Rs 150 a quintal.
In the Erode and Gobichettipalayam cooperative Marketing societies, medium variety turmeric
arrived.
At Erode Turmeric Merchants Association sales yard, the finger variety was sold at Rs 3,509-
5,698; the root variety Rs 3,396-5,191 a quintal.
Salem Hybrid Crop: The finger variety was sold at Rs 4,669-6,339 and the root variety Rs 4,434-
5,461.
Of the 548 bags that arrived, 201 were sold.
At the Regulated Market Committee, the finger variety fetched Rs 4,909-5,822; the, root variety
Rs 4,633-5,227.
Of the 766 bags on offer, 558 found takers.
At the Erode Cooperative Marketing Society, the finger variety quoted Rs 4,649-5,869; theroot
variety Rs 4,549-5,199.
Of the 756 bags put up for sale, 699 were sold.
At the Gobichettipalayam Agricultural Cooperative Marketing Society, the finger variety was sold
at Rs 4,489-5,817; the root variety Rs 4,169-5,089.
Of the 221 bags up for sale, 202 were traded.
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Bulk buyers wait for rice prices to ease
The rice market saw a steady trend with the prices of aromatic and non-basmati varieties ruling
unchanged on Thursday.
Due to restricted trading, rice prices have been ruling almost unchanged since Tuesday, said
market sources.
Tara Chand Sharma, Proprietor of Tara Chand and Sons, told Business Line that lack of trading
at all levels kept aromatic and non-basmati rice prices unchanged.
Bulk buyers are keeping themselves out of the market and they don’t want to take fresh position
as they are waiting for the prices to fall, he added.
Rice prices may drop but the fall will be limited, it is unlikely to see any major fall in rice prices,
said Tara Chand Sharma.
According to the trade experts, market may witness only need-based buying with marginal
fluctuation in prices in the coming days.
In the physical market, Pusa-1121 (steam) sold at Rs 8,300-80 a quintal, while Pusa-1121 (sela)
quoted at Rs 7,700-50.
Pure Basmati (Raw) quoted at Rs 11,000. Duplicate basmati (steam) sold at Rs 6,730. For the
brokens of Pusa-1121, Dubar quoted at Rs 3,700, Tibar sold at Rs 4,400 while Mongra was at
Rs 3,100 .
In the non-basmati section, Sharbati (Steam) sold at Rs 4,500-4,600 while Sharbati (Sela)
quoted at Rs 4,300. Permal (raw) sold at Rs 2,320 , Permal (sela) went for Rs 2,300 , PR-11
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(sela) sold at Rs 2,900 while PR-11 (Raw) quoted at Rs 2,700 PR14 (steam) sold at Rs 3,000-
80.
Paddy arrivals
Around 12,500 bags of different paddy varieties arrived at the Karnal Grain Market Terminal.
About 10,500 bags of PR paddy arrived and quoted at Rs 1,300-30 a quintal, around 1,000
bags of Pusa-1509 arrived and sold at Rs 3,350 while 1 thousand bags of Sharbati arrived and
sold at Rs 2,320 a quintal.
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UP sugar mills hint at 'no crushing' season
Industry sources say they were not in a position to pay arrears of Rs 2,500 cr pertaining to the 2012-13 crushing season
The sugar industry in Uttar Pradesh (UP) may decide not to crush cane in the coming season if
the Akhilesh Yadav government doesn’t concede to their demand to bail out the beleaguered
sector.
The industry claims it has incurred a loss of Rs 4,000 crore over the past two years. According
to industry sources, they were not in a position to pay cane arrears of about Rs 2,500 crore
pertaining to the 2012-13 crushing season.
“Owing to our precarious financial situation, banks are not allowing us credit and sugar
companies are not able to conduct routine repairs and maintenance work in mills, which is
customary before the start of crushing,” said Vivek Saraogi, managing director, Balrampur Chini
Mills Limited.
The industry has been demanding sugarcane prices be linked to sugar prices in UP, which
accounts for about 30 per cent of India’s sugar output. Saraogi added that the sugar industry
generated direct revenue of Rs 6,000 crore a year to the state government and supported the
livelihood of almost 40 million people.
Indian Sugar Mills Association’s (ISMA) director-general Abinash Verma demanded Rs 2,400
crore subsidy to clear arrears of 2012-13. According to him, at a time when there is a glut in the
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sugar market with sugar prices keeping flat and even falling, the mills can’t pay beyond Rs 240
a quintal. “We request the state government to provide cash subsidy of Rs 40-50 per quintal of
cane for the coming crushing season,” Verma added.
There are over 100 private mills in UP. Last year, the state had fixed cane price at Rs 280 a
quintal for the common variety of cane.
The millers had earlier filed a petition in Allahabad High Court seeking direction to the
government to announce state cane price before starting the cane reservation meetings, which
have already started despite mills’ objection.
Kisan Jagriti Manch president and Lucknow University professor Sudhir Panwar said while the
growers were supportive of the sound financial health of sugar industry, it should not be at the
cost of farmers.
“The demand of sugar industry to link cane prices with sugar is illogical because in every
industry, it is the raw material price which decides the price of final produce and this is the very
basis on which farmers and state government rejected the Rangarajan recommendations,” said
Panwar.
He added the Centre and state governments had conceded to almost all the demands of the
industry last year, but the industry is not clearing arrears, which according to him is “unfortunate
and will affect cane production in long-run”.
He noted the industry wanted to transfer losses to farmers, but never transferred profit during
“favourable years”.
On Wednesday, Yadav had informed the state assembly that over Rs 6,340 crore was pending
as cane arrears from 1994-05 to 2012-13, of which Rs 5,600 crore was pending on private
sugar mills alone and the remaining with cooperative units.
The 121 mills in UP produced nearly 7.47 million tonnes (mt) of the sweetener – 7 per cent
higher compared to last year’s sugar output of 6.97 mt.
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Export floor price raised to $900/t as onion at Rs 70 brings tears to eyes
As high onion prices showed little sign of abating, the Centre on Thursday clamped on exports
by raising the minimum export price(MEP) to $900/ tonne. Agriculture Minister Sharad
Pawar blamed exploitation of the logistics and transportation problem in the Nashik-Lasalgaon
belt — perpetuated by heavy rains — by retail traders for the current crisis.
“My assessment is that supplies have fallen as transportation of onion from villages to mandis in
the main markets of Nashik and Lasalgaon has become difficult due to rains, which has created
a physiological problem for traders in other regions,” Pawar told Business Standard.
Hoping the price situation would normalise in two-three weeks when the new crop starts coming
into the market, Pawar said onions in Delhi had become costly as traders were getting a good
price in nearby areas and squeezed their supplies to the national capital.
The MEP was previously increased on August 14, after prices rose in retail markets. Since
then, there has only been a temporary blip in rates. According to data from the consumer affairs
department, onion prices on Thursday rose Rs 5 a kg in Lucknow, Rs 10 in Agra, Rs 7 in Bhopal
and Rs 5 in Bhagalpur from Wednesday.
In most parts, except southern states, onion was selling at an average rate of Rs 65-70 a kg.
“The situation in southern India is slightly different as the gap between the rabi and kharif
harvest of onion is less. Therefore, there are very few days when supplies drop,” a senior official
from the Nashik-based National Horticulture Research and Development Foundation(NHRDF)
told Business Standard.
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Food Minister K V Thomas, who met Pawar to review the situation, said there was not much
difference in the arrival of onions in various markets at present, compared with the situation
earlier this month. He directed state governments to take strict action against the hoarders.
“By increasing the MEP,
thegovernment might have been
giving an indication that exports
are responsible for the recent
spurt in prices but in reality, it is
huge hoarding at the farmers and
not traders which is pushing up
prices,” said an official with
NHRDF.
He added the new rabi crop is
expected to be good, which is why
farmers have started hoarding the
crop, as their opportunity to earn some decent margin is very less.
According to a recent report by NHRDF, 85-90 per cent of stocks are exhausted and just
300,000-400,000 tonnes was left.
“If supplies from southern states don’t start in right earnest from October, then there could be
serious shortage as stocks are getting exhausted fast,” another official explained.
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Govt hikes onion MEP to $900 per tonne
On Aug 14, govt had imposed MEP of $650 per tone
To curb rising onion prices, the government today hiked the minimum export price (MEP) of the
vegetable to $900 per tonne.
Earlier on August 14, the government imposed MEP of $650 per tonne. MEP is is a benchmark
price below which onion cannot be exported.
"Exports of all varieties of onions...Will be subject to an MEP of $900 per tonne," Director
General of Foreign Trade (DGFT) said in a notification.
Onion shipments in August had come down substantially to 29,000 tonnes after a minimum floor
price was imposed on exports.
Onion prices in retail markets, however, soared again to Rs 70-80 per kg.
The government is keeping a close watch on price situation. It has taken several measures to
improve supplies including imports.
The Centre has also directed all state governments to crack down on hoarders and speculators
who are keeping onion prices artificially high.
Agriculture co-operative Nafed has floated global tenders to import onions but has not taken a
decision yet due to phytosanitary issues.
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Some private traders have imported a few tonnes of onions.
There is short supply of onion as much of the stored onions of last year's crop have been
exhausted. New crop from South India is yet to arrive in huge quantities in consuming states.
Maharashtra, Karnataka and Gujarat are some of the main onion producing states.
Onion prices continue to remain high at Rs 70-80 per kg
Onion prices in the national capital continue to remain high at Rs 70-80 per kg as supplies are
still under pressure.
Prices of the kitchen staple in Azadpur mandi, Asia's largest wholesale market, were ruling at
Rs 60 per kg today as supplies were below normal.
"Today, there was a marginal increase in the supplies of onion at 9,500 quintals, but that was
insufficient to bring down the prices," Onion Merchant Traders Association President Surendra
Budhiraj said.
He said the prices are likely to remain at this level for the next 10-15 days as most of the stored
quantities from last year's crop have been exhausted and fresh supplies from South India are
yet to reach the consuming states.
Traders also attributed the rise in wholesale onion prices to increase in prices of the bulb in
Lasalgaon Mandi in Nashik, which sets the price trend across the country.
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At Mother Dairy outlets in the city, onions are being sold at Rs 65-67 per kg, while local vendors
are selling it at 70-80 per kg, depending upon the quality and location.
According to National Horticultural Research and Development Foundation data, prices of the
politically sensitive commodity at Lasalgaon in Nashik, slightly declined from Rs 58 per kg to Rs
56 per kg today.
Meanwhile, the Consumer Affairs Ministry had said in the status report on onions that prices are
under pressure as 90% of stored onions from last year's crop are exhausted and only 3-4 lakh
tonnes are available for consumption.
Wholesale Price Index (WPI) based inflation had risen for the third straight month to 6.1% in
August, driven by a whopping 244.62% jump in onion prices on an annual basis.
Chana down 0.8% on supply pressure
The commodity for delivery in September lost 0.66%
Chana prices fell by 0.83% to Rs 3,102 per quintal in futures market today on increased
supplies from producing regions against subdued demand in the spot market.
Expectations of higher output this season also put pressure on chana prices at futures trade.
At the National Commodity and Derivatives Exchange, chana for delivery in October fell by Rs
26 or 0.83% to Rs 3102 per quintal with an open interest of 157900 lots.
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Similarly, the commodity for delivery in September lost Rs 20, or 0.66% to Rs 3023 per quintal
in 2620 lots.
Market analysts said sluggish demand in spot market against increased supplies from producing
regions mainly pulled down the chana prices at futures trading.
Potato up 0.3% on spot demand, restricted supply
Market analysts said pick up in demand in the spot market against restricted arrivals from growing regions influenced prices
Amid pick up in domestic demand and restricted supplies from producing region, potato prices
moved up by 0.37% to Rs 806.10 per quintal in futures trade today as traders created fresh
position.
At the Multi Commodity Exchange, potato for delivery in March month went up by Rs 3 or 0.37%
to Rs 806.10 per quintal in business turnover of 7 lots.
Market analysts attributed the rise in potato futures to the pick up in demand in the spot market
against restricted arrivals from growing regions.
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Sugar down 0.7% in futures trade on higher supply
Sugar for delivery in October fell by 0.21%
Sugar prices moved down by 0.78% to Rs 2,925 per quintal in futures trading today as
speculators offloaded their positions on expectations of higher supplies from producing areas.
At the National Commodity and Derivatives Exchange, sugar for delivery in September fell by
Rs 23 or 0.78% to Rs 2925 per quintal in open interest of 1750 lots.
Similarly, sugar for delivery in October fell by Rs 6 or 0.21% to Rs 2920 per quintal in 10,390
lots.
Market analysts said speculators offloading their positions on expectated higher supplies from
producing areas mainly kept pressure on sugar prices at futures trade.
Refined soya futures decline on weak demand Weak demand in the spot market against
adequate position led to decline Refined soya oil prices declined by 0.68% to Rs 655.40 per 10
kg in futures trading today as speculators trimmed their positions,driven by a weak demand in
the spot market against adequate stocks position.
At the National Commodity and Derivatives Exchange, refined soya oil for delivery in October
moved down by Rs 4.50 or 0.68% to Rs 655.40 per 10 kg with an open interest of 64950 lots.
Similarly, the oil for delivery in September shed Rs 6, or 0.21% to Rs 671 per 10 kg in 34890
lots.
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Analysts said speculators trimmed their positions, driven by a weak demand in the spot market
against adequate position mainly led to decline in refined soya oil prices at futures trade.
Onions prices to ease in 2-3 weeks on fresh output: Pawar
Agriculture Minister Sharad Pawar today said onion prices will ease in the next two-three weeks
as fresh output arrives from Maharashtra and other states, providing relief to consumers.
"After talking to farmers and traders, my own assessment is that arrival of new kharif crop will
increase substantially in next two-three weeks and prices will come down," Pawar told PTI in an
interview.
Supplies are also likely to improve as small quantities of imported onions have arrived, while
outward shipments have slowed after a minimum export price was reimposed, he said.
Pawar, the leader of the Nationalist Congress Party, said his party was not responsible for
hoarding in Maharashtra, the largest onion-growing state, which stores the maximum crop to
cater to lean periods.
Onion prices have shot up sharply in both wholesale and retail markets across the country. In
the national capital, the retail price of onions is currently as high as Rs 70-80 per kg compared
with Rs 22 per kg a year earlier.
Pawar said the rise in onion prices has contributed to inflation, while prices of other food items
such as rice and wheat have been stable.
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Stating that onion prices are under pressure now due to heavy rains, Pawar said, "Harvesting of
early kharif crop in Andhra Pradesh and Karnataka has begun, but rains have caused
transporation problem."
Similarly, in the Nasik belt of Maharashtra, farmers are facing harvesting problems due to rains.
Pawar, who also held discussions with Consumer Affairs Minister K V Thomas, said the arrival
of new kharif crop, which normally starts in the October-November period in Maharashtra and
other states, will improve the supply and price situation in the next two-three weeks.
Cardamom futures slide 0.7% on profit-booking
Speculators booked profits at prevailing higher levels driven by a weak demand in the spot market against adequate stocks
Cardamom prices fell by 0.68% to Rs 763 per kg in futures trade today as speculators booked
profits at prevailing higher levels driven by a weak demand in the spot market against adequate
stocks.
At the Multi Commodity Exchange, cardamom for delivery in October fell by Rs 5.20 or 0.68% to
Rs 763 per kg in business turnover of 435 lots.
In a similar fashion, the spice prices for delivery in November traded lower by Rs 4.40, or 0.55%
to Rs 802 per kg in 52 lots.
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Market analysts said, besides profit-bookings by speculators at prevailing higher levels, weak
demand in the spot market against adequate stocks position mainly influenced cardamom
prices at futures trade.
Crude palm oil down by 1.5% on sluggish demand
Speculators engaged in reducing positions amid sluggish demand in the spot market
Crude palm oil prices extended yesterday's losses with prices falling by 1.46% to Rs 507.30 per
10 kg in futures market today as speculators engaged in reducing positions amid sluggish
demand in the spot market.
At the Multi Commodity Exchange, crude palm oil for delivery in October fell further by Rs 7.50
or 1.46% to Rs 507.30 per 10 kg in business turnover of 461 lots.
Similarly, the oil for delivery in September lost Rs 6, or 1.13% to Rs 517.90 per 10 kg in 232
lots.
Market analysts said trimming of positions by speculators due to sluggish demand in the spot
market mainly pulled down crude palm oil prices at futures trade.
