INSUBCONTINENT EXCLUSIVE:
New Delhi: Pulses prices have risen by 1-8 per cent after the government raised the minimum support prices (MSP) for the ongoing kharif
Traders and analysts expect the prices to increase further, with most pulses are selling below the MSP
They say prices are also rising due to lower crop acreage and rising demand for pulses.
“In the Delhi spot market, masoor price has
increased by 7.4 per cent to Rs 4,350 per quintal, chana by 4 per cent to Rs 4,340 while moong by of 3 per cent to Rs 6,200 in the past one
week after the increased MSP was announced,” said Anuj Gupta, deputy VPresearch, commodities, Angel Broking
He said urad and tur prices too increased by 1 per cent to Rs 4,925 and Rs 5,650.
Other reasons for rising prices are pre-festival season
demand, higher consumption of pulses and restricted imports, said Prerana Desai, head of research at Edelweiss Agri Services and Credit
She said prices will go up since there has been lower planting for tur (arhar), moong and urad.
The area for pulses has fallen 20 per cent
to 27.51 lakh hectare, according to government data.
“Traders are buying pulses ahead of the festive season which begins in August
Also, with the onset of monsoon, demand for chana used for flour and other food items has increased
The sharp restriction of yellow peas import too has contributed to the firming up of prices,” said Desai.
A trader said chana prices are
also increasing since besan manufacturers do not appear to be mixing yellow peas, maize and broken rice in it.
“Both maize and broken rice
are much in demand by the animal feed industry and, hence, we see chana demand increasing,” the person said, requesting anonymity.
“Most
of the pulses are still selling below the MSP and there is scope for a further increase,” said Sanjeev Kumar Chadha, MD, National
Agricultural Cooperative Marketing Federation (Nafed) which is holding 40 lakh tonne of tur, chana, moong, urad and masoor.
Chadha said that
even with deficit rain and less area under pulses, the buffer stock will ensure steady supplies for the special welfare schemes across 12
states in the country and steady availability in the market.
