Return to: Finance News

Epic Research Weekly Agri Commodity Report 22 JANUARY 2017



Commodity News

Sugar industry bodies Indian Sugar Mills Association (ISMA) and the National Federation of Cooperative Sugar Factories (NFCSF) met senior food ministry officials and sought hike in Sugar import duty from 50 percent to 100 per cent and scrapping of export duty of 20 per cent to liquidate surplus Sugar. Wholesale prices have fallen below the cost of production in view of estimated 6 million tonnes more production in the 2017-18 season (October-September), they said. In retail, Sugar is being sold at Rs 40-42/kg. "The ex-factory prices of Sugar have come down to Rs 2,950/quintal from Rs 3,500-3,650/quintal. This has led to a net loss of Rs 6-7 per kg. We have sought timely intervention from the government," NFCSF said.

Pulse prices across the country, that ruled below the minimum support price (MSP) for the previous season, are expected to remain bearish this season as well. As farmer registrations for the procurement of Tur (Arhar) at the MSP still continue in Maharashtra, the government has managed to get another extension for the procurement of Urad (Black gram) at MSP.The Centre has granted extension till January 20. This is the third extension granted by the government. Prices of Tur are ruling below MSP across major markets in the key growing regions such as Maharashtra and Karnataka, among other states.

Global production of natural Rubber rose by 6.8 percent last year to 13.3 million metric tons as compared to the 12.4 millions tons produced in 2016, according to a recent release from the Association of Natural Rubber Producing Countries (ANRPC). The association noted that almost 90 percent of the world supply was produced by its member countries.Global natural Rubber consumption, meanwhile, rose by a mere 1.4% to 12.9 million tons during 2017, according to ANRPC. In December, the association saw signs of recovery in rubber pricing, but the improvement was linked to higher Crude Oil prices and a previously agreed upon cut in supply by three major natural Rubber producers.


Economic News

Basmati rice prices are seen rising in the international market with Iran likely to begin import of the cereal soon. Rice exporters, who are already getting 20% higher price for basmati compared with last year, said Iran could start import as early as next week. "The announcement by Iran is expected soon as the trade was opened by this time last year," said Vijay Setia, president of All-India Rice Exporters Association (AIREA). "The delay is due to the extended domestic rice season in Iran.“ India exports about 4 million tonnes of basmati rice every year to more than 100 countries, of which Saudi Arabia, Iran, the UAE, Kuwait, the US and the UK are the main buyers. The revival in price of basmati in the international market follows a lean cropping season in India. Farmers had shrunk the area under basmati due to a fall in the domestic price of the commodity. Usually, demand and price of basmati increase around this time of the year, when Iran starts imports of the commodity after the close of its domestic rice season.

The government will link 109 more mandis on the electronic National Agriculture Market (eNam) by next month to ensure farmers get better rates for their produce, a senior agriculture ministry official said. So far, 470 mandis in 14 states have been integrated with the eNAM platform, launched in April 2016 with an aim to help farmers with better price discovery and provide facilities for smooth marketing of their produce. The government has set a target of linking total 585 mandis on the eNAM platform in the current fiscal. "Work is in progress in additional 109 mandis. We expect these mandis to go live on the e-NAM platform by first week of February," the ministry official told PTI. Punjab, Kerala, West Bengal, Chandigarh and Puducherry are the upcoming states/union territories (UTs) which have shown interest to connect some of their mandis on the eNAM platform. That apart, Telangana, Gujarat and Maharashtra wants to connect additional mandis on the eNAM, the official added.

COMMODITY HEADLINES

1) Rabi planting decreases 0.52% till date
2) Maharashtra gives nod to Rs 4,000-cr climate resilient agri project
3)Sugar prices in Maharashtra hit new low last seen in March 2016
4) Government to link 109 more mandis on e-NAM by next month
5) Sugar production to be up by 4%; exports possible, says ISMA
6) Basmati export to Iran likely by next week
7) Telangana to prepare short-term agri, allied activities policy
8) Sugar processors undermine their own margins to meet payments to cane farmers
9) Modi government looks for more private capital in farms to boost incomes
10) Red chilli to turn costlier by March
11) Difficult to say Bt cotton crop yield loss due to pink bollworm attack: FSII

Trading Recommendations

BUY GUARGUM5 ABOVE 9300 TARGET 9400 9600 SL BELOW 9200
SELL GUARGUM5 BELOW 9100 TARGET 9000 8900 SL ABOVE 9300

BUY CORIANDER ABOVE 5800 TARGET 5900 6100 SL BELOW 5700
SELL CORIANDER BELOW 5600 TARGET 5500 5300 SL ABOVE 5700


Epic Research Limited is a supreme level financial advisory services provider firm .We have designed services for different investors as per their needs like equity tips , mcx tips, agri tips and many more to serve our clients. We offer regular services for investors with less capital and premium services for massive investors looking for higher returns on investments with bigger targets.

Want to take a FREE TRIAL? Visit our site link below and become a part of our Epic family. Happy trading.
http://www.epicresearch.co/
or
mail us @ info@epicresearch.co
Also you can Whatsapp us at :7049084664
Our Office:411 Milinda Manor, 2 RNT Road, Indore 4520 ...

News Release: Epic Research Weekly Agri Commodity Report 22 JANUARY 2017
Submitted on: January 22, 2018 04:43:37 AM
Submitted by: EpicResearch
On behalf of: www.epicresearch.co/
advertisement