Weekly: Chana Gains On Low Sowing Data; Tur Softens On Supply Concerns

MUMBAI (Commoditiescontrol) – Chana, Kabuli Chickpea, Masoor, Moong along with White & Green Pea traded higher during the week ended Saturday (November 05-10) amid improved buying support from mills. While, Tur remained weak on slackened trade activity at higher rates. On the other hand, Urad prices traded mixed on limited activity.

Week Highlights

# India Rabi Pulse Sowing down by 28.14 % as on November 9 to 39.05 lakh Ha vs 54.34 last year at the same period. Chana: 27.14 Vs 40.46, Masoor: 3.11 Vs 5.28, White Pea: 2.71 Vs 2.17, Urad: 0.82 Vs 0.95, Moong: 0.29 Vs 0.18, Other: 0.91 Vs 0.96.
# Canada September Bulk Matar Export Stood At 3.42 LT Vs 0.67 LT In August. China Main Buyer With 2.83 LT & Bangladesh At 0.51 LT. No Bulk Export To India.
# Unconfirmed Sources: Chennai High Court Extends Hearing Date On Pulses Import Vs DGFT Order.
# Canada September Masoor Exports Stood At 33600 MT, Down From 69,100 MT In August.
# Japan Weather Bureau Friday Said 70% Of El Nino In North Hemisphere (Asia-Europe-North Africa-North America). Earlier On Thursday U.S Weather Said 80% Chances Of El-Nino.



Burma Lemon Tur:

After sharp rise in the last couple of weeks due to dry weather and expectation of lower outpurt, Tur lemon variety of Burma origin declined by Rs 100 to Rs 4,000/100Kg this week on slackened millers buying at higher rates amid limited trade activity as major domestic markets were closed for Diwali festival.

Prices also remained weak in the wake of unexpected upcoming supply of around 1 lakh tonnes from overseas. The supply will come from Tanzania (Arusha), Mozambique and Sudan. Approximately 40000-50000 tonnes are expected from Arusha at Chennai port, while 40000-50000 tonnes from Mozambique at Chennai/Mumbai port and 2000-3000 tonnes from Sudan at Chennai port.

Similarly, Nafed will also be active to liquidate its procured stock from Monday onwards.

At Mumbai, Mozambique origin red and white tur eased by Rs 50 at Rs 3,800/100Kg and Rs 4,000, respectively amid slow trade activity. New Mozambique origin red and white tur also fell by Rs 50 at Rs 3,950-4,150/100Kg.

Domestic tur in bilty trade at Akola quoted lower by Rs 125 at Rs 4,400-4,450/100Kg on thin trade activity.

As per market talk, imports in coming days till month-end, liquidation of procured stock by the government agency in market and supply of new crop from December are likely to pressurise sentiments ahead.

However, lower than expected new crop, compared to last year and consistent decline in stock with Nafed may support prices at lower rates in the long-term. Movement in Tur prices will depend mostly on government procurement.

Demand and sale counters in processed tur were also good amid the ongoing festive period, empty retail pipeline and following firm trend in raw tur.

Latur origin Phatka variety traded higher at Rs 6,400-6,600/100Kg for Mumbai delivery on better trade activity. Khamgaon origin phatka variety also gained to Rs 6,300-6,500/100Kg, Jalna origin phatka variety at Rs 6,900-7,300/100Kg. Gujarat origin Wasat Phatka variety also priced firm at Rs 6,600-7,100/100Kg (Mumbai Delivery).


Burma Urad:

Burma urad FAQ variety continued to trade higher by Rs 150 at Rs 4,800/100Kg in Mumbai due to better buying support from mills due to better quality supply, compared to new domestic urad and shortage of ready imported stock in Mumbai.

Prices also gained as major markets were closed for Diwali, resulting in a disruption in supply.

On the other hand, in Chennai, Urad FAQ new traded lower by Rs 100-150 at Rs 4,600/100Kg in ready delivery as per condition amid slow buying by mills at higher rates and regular supply from overseas. Similarly, in forward business, Urad FAQ fell by Rs 50 at Rs 4,700/100Kg for mid November-mid december delivery.

While, Urad SQ new extended gains by Rs 150 to Rs 5,900/100Kg in ready business as per condition. Similarly, in forward business, Urad SQ moved up by Rs 50-100 at Rs 6,000-6,050/100Kg for mid November-mid december delivery.

Meanwhile, the Madras High Court has extended further the date of hearing on a plea challenging the DGFT notification to restrict import.

Demand in processed Urad remained good from consumption centres. Bikaner origin branded Urad dal traded higher at Rs 6,600-6,900/100Kg for Mumbai delivery, Tiranga brand of Mumbai at Rs 7,000/100Kg for Mumbai delivery and Parivar brand of Jalgaon at Rs 7,000/100Kg for Mumbai delivery.

According to market sources, prices are likely to slip or decline a bit from higher levels as arrivals may increase from Monday onwards and also due to further supply at Chennai port and ongoing delivery which will begin from mid of current month which were traded/finalised earlier in forward business. Overall, prices may be attractive at lower rates due to dry weather, reduced sowing in major states and not much carry over stock left with government/ private traders and particularly tight availability of good quality urad.


Chana Kantewala (Indore):

At Indore market, Chana moved up sharply by Rs 300 at Rs 4,600/100Kg following sharp gains on futures, restriction on matar/chana imports, less ongoing sowing compared to last year and better millers' demand as demand and sale counters in processed chana/ besan were good from consumption centers due to festive period.

However, Nafed activeness in liquidating procured stock at existing prices capped upside.

Meanwhile, chana sowing was down by 33 % as on November 9 to 27.14 lakh hectare vs 40.46 during the same period last year.

Similarly, Australia origin Chana in ready business at Mumbai and Mundra port moved up by Rs 400-500 each at Rs 4,750/100kg and Rs 4,800, respectively.

Similarly, Burma origin chana gained by Rs 450 at Rs 4,850/100Kg on improved millers' buying.

At National Commodity and Derivatives Exchange (NCDEX), Chana benchmark November contract settled 4 per cent upper circuit or Rs 175 at Rs.4,559/100Kgs on Friday.

Chana stocks at NCDEX accredited warehouses stood at 23,544 metric tonnes (Akola: 23,494, Bikaner 20, Jaipur 30) as on 9th November, up 25,463 metric tonnes from the previous session, the exchange data showed.

Australian chana dal traded sharply higher at Rs 5,900/100 Kg for Mumbai delivery amid better trading volume. Similarly, domestic chana dal of Pistol brand gained at Rs 6,000-6,100 for Mumbai delivery, Samrat brand at Rs 6,400-6,500 for Mumbai delivery, Angel brand at Rs 6,300 for Mumbai delivery. Chana besan also traded firm at Rs 3,300/50Kg, Vatana besan flat at Rs 2,961/50 Kg and Vatana dal at Rs 5,500.

In Mumbai, Sudan and Burma origin kabuli gained by Rs 450 at Rs 4,600/100Kg and Rs 4,850, respectively amid good buying support from besan flour millers.

Kabuli Chana dollar variety at Indore priced higher at Rs.5,500-6,300/100Kgs as per quality at Indore.

The long term outlook will very much depend on rabi crop sowing, which has begun, but pace will increase from next week.

Imported Masoor (Mumbai):

Canada origin masoor in Vessel and Container along with Australia Masoor gained for the second straight week by Rs 50-100/100Kg in Mumbai amid good buying support from mills, less ongoing sowing compared to last year and also on cheaper prices compared to Tur.

Meanwhile, masoor sowing was down by 41 % as on November 9 to 3.11 lakh hectare vs 5.28 during the same period last year.

Canada crimson variety masoor in vessel and container gained by Rs 100 to Rs 3,850-3,950/100Kg and Rs 4,000-4,100, respectively.

MMTC were active in selling procured old Canada masoor stock moved up at Rs 3,600/100Kg, up Rs 100 in Mumbai.

Australia masoor nugget variety ruled firm by Rs 50 at Rs 4,100-4,200/100Kg as per quality against limited stock availability.

Demand in processed Masoor remained good from consumption centres. Canada Masoor Khopoli spot traded higher at Rs 5,200/100Kg.

However, recent supply in break bulk vessel from Canada at Mumbai port, selling of procured Masoor by Nafed in Madhya Pradesh/Uttar Pradesh and upcoming supply from Canada are likely to limit the gains.

Imported White Pea (Mumbai):

Canada origin white pea at Mumbai, Hajira and Mundra ports, Russia White Pea at Mundra port along with Ukraine White Pea at Mundra/Hajira ports moved up by Rs 100-150/100Kg as per quality due to fresh trade at lower rates and slow progress in sowing, compared to last year.

Meanwhile, White Pea sowing was down by 26 % as on November 9 to 2.49 lakh hectare vs 3.35 during the same period last year.

Canada White Pea traded at Rs 4,800/100Kg at Mumbai, Rs 4,600-4,700 at Mundra and Rs 4,600 at Hajira port. Russia origin Baltic variety quoted at Rs 4,550 in Mundra. Ukraine White Pea ruled at Rs 4,700 at Mumbai and at Rs 4,600 at Mundra and Hajira.

Demand in matar dal/besan remained limited at prevailing rates.

In India, government had extended curbs on matar import till December end. But buyers from China were active and purchasing White Pea from Canada due to parity and cheaper prices compared to soymeal.

Earlier, India was main buyer of White Pea in international market, but in future, it will not easy for India to get White Pea from overseas if Indian government allows import of White Pea from 1st January, New Year seeing dry weather and increasing pulses prices, while China will be main buyer due to higher consumption.

Moong (Jaipur):

Moong traded higher by Rs 300 at Rs 5,500-5,800/100Kg as per quality at Jaipur market amid increased buying by the mills due to negligible arrivals as major interior markets were closed this week for Diwali festive.

Demand and sale counters in processed moong remained good at existing rates. Moong dal prices also moved higher to Rs 7,000-7,100/100Kg depending on the variety.

Farmers in Rajasthan are purchasing good quality moong from producing centres and selling it to the government agency at higher MSP.

Millers were also active in buying good quality pulse as better trading activities were seen in processed Moong amid the ongoing festive season.

However, government agency is still not active in purchasing big quantity moong at MSP in Rajasthan.

Canada Green Pea (Mumbai):

Canada origin green pea at Mumbai moved up by Rs 200 at Rs 7,100/100Kg (cleaned) and Rs 7,000/100Kg (uncleaned) as per quality following firm trend in other pulses, fresh buying at lower rates, shortage of ready stock and no supply pressure from overseas.

(By Commoditiescontrol Bureau; +91-22-40015513)