There was a tremendous jump in prices this week. Solapur pigeon peas opened at Rs. 10,100/q on Monday and reached Rs. 10,650/q during the week. However, due to the imposition of stock limit on Friday night and due to weak buying a fall of Rs. 150~200/q was recorded on Saturday.
In order to control the rising prices of pulses and inflation in food grains, the central government has imposed stock limit restrictions. The stock limit has been implemented till October 31st, 2023.
Traders will no longer be able to keep stock of pigeon peas and black matpe in excess of the prescribed quantity.
A ceiling of 200 MT has been fixed for wholesalers. 5 MT for retailers and large retail chains will not be able to keep more than 5 MT of stock at their stores and 200 MT in depots. Mills will also not be able to keep a stock equal to the production of the last 3 months or more than 25% of their total annual production capacity.
Despite the imposition of stock limit, there was not much fall in Chennai Lemon on Saturday. July deals are done in Rs. 10500~10600/q. The sentiments were again strong till afternoon.
On the other hand the stock of Africa is also less. Forward deals of new crop are being done for $1050/MT. Demand is also very good at these prices.
The arrivals in the mandis are very low and stock with the millers is also not much. Due to this, the rise in prices is getting support.
There are more than 7 months left for the new crop to arrive in the country.
However, there will be no shortage of pigeon peas in the next season. Farmers informed Khoj that due to the high price of pigeon peas, their interest will be more in growing pigeon peas in the next cropping.
Overall, there is little chance of a major fall in prices due to the shortage of pigeon peas in the country.