MUMBAI, May 01st (Commoditiescontrol): During the week ended April 29, 2023, the price of Burma Urad witnessed a significant upswing driven by robust purchasing from mills striving to crush the pulses in order to meet the rising demand for Urad dal. Additionally, the impact of higher Burma CNF quotes also contributed to this notable increase. This surge in price was further compounded by limited ready stock, which can be attributed to the low supply of Burma Urad resulting from import disparities.
In the forward deals at Chennai, the Burma Urad SQ variety price for ready/ May delivery traded at Rs 8,450 per quintal, while the price for June delivery was Rs 8,600. Burma Urad SQ is trading higher by $50 at 1055 CNF, which is leading to import disparity
Likewise, in forward business deals at Chennai, the Burma Urad FAQ variety price for immediate or May delivery traded at Rs 7,700 per quintal. Burma Urad FAQ closed $50 higher at $955 CNF, resulting in an import disparity.
In Jalgaon, the price of desi Urad closed higher by Rs 250 per 100 kg for the week and was traded at Rs 7,500-8,000 per 100 kg, depending on the quality. This price increase was due to need-based mill trade activity.
In the Mumbai market, the price of Urad dal rose by Rs 200 per quintal for the week and was traded at Rs 10,000-10,900 per 100 kg. This increase in price was due to strong demand at retail counters.
The new rabi crop of Urad from the Krishna district was traded at a higher price range of Rs 7,850-7,900 per 100 kg for Vijaywada delivery, representing an increase of Rs 250-300. Similarly, the Guntur delivery price also rose by Rs 200 to reach Rs 7,800, driven by need-based buying. Additionally, the Branded Urad Gota variety experienced a price increase of Rs 200-300 and closed at Rs 10,100-10,200 per 100 kg.
According to reports from traders in Burma, the available stock of Urad in the country is held by strong hands, who are not keen to sell their stocks at current prices as they anticipate further price increases. Moreover, the exchange rate between the Burmese kyat and the US dollar remained stable at 2,850 Kyat per dollar, which is the same as the previous week.
As per the latest update as of April 28th, 2023, the sowing area for India's summer Urad crop has decreased by 1.28% to 3.08 lakh hectares, as compared to 3.12 lakh hectares sown during the same period last year.
As per technical chart - Urad FAQ (Mumbai) - The breakout above resistance at Rs 7,500 may trigger another leg higher towards Rs 8,000. - Hold longs. Click here
As per technical chart - Urad SQ $ (Burma) - Positive short term trend / Next Resistance at $1125. Click here
Trend:Urad prices are expected to increase during the upcoming week due to several factors. The driving force behind the rise is mill buying activity to meet demand, given the limited ready stock of Urad in the domestic market and an inadequate supply of imported Urad. Domestic prices are likely to remain high due to the higher landed costs of imports from Burma.
Moreover, fewer arrivals of the new crop from Andhra Pradesh and Tamil Nadu are expected, as sellers are less interested in selling at current prices, expecting further price increases due to low ready stock in domestic markets and slow overseas supply.
Additionally, recent rains in the summer Urad crop belts may impact the crop's yield and quality, further pushing up prices.
The invitation of bids for the supply of 5000 MT imported Urad by the National Cooperative Consumers' Federation (NCCF) will support firm prices.
However, the government is closely monitoring stock disclosures of pulses by millers, which may affect demand. Ultimately, the trend in Urad prices will depend on the pace of imports and the landed cost of Burmese Urad at Indian ports.
(By Commoditiescontrol Bureau; +91-9820130172)
0 Comments 
Post Comment 
