Market Pressures and Increased Producer Inventories

The raisin market is facing challenges due to weak local and international demand, resulting in a 29% increase in producer inventories within a week. This surge in inventories has compelled producers to offload stocks and reduce prices. Leading to a market depression of $0,05 to $0,06 per kg. The current market conditions offer no immediate prospects for improvement. Prompting producers to seek out potential customers to sell their goods profitably.

Impact on Production and Quality

Recent reports indicate a substantial 36-37% increase in raisin crops in the Sangli Tasgaon line of Maharashtra. Despite abundant grape harvests, the overall quality of the raisins is reported to be subpar. The surplus of old stock in producer, distributor, and consumer markets has resulted in widespread selling at various price points. This surplus, coupled with the current closure of weddings until the end of June, has dampened the usual post-Holi spike in demand.

Market Impact and Price Trends

The surplus from Maharashtra has significantly affected prices of light quality raisins in Bihar, Bengal, and Orissa, impacting regions like Patna, Bhagalpur, Muzaffarpur, Darbhanga, Gaya, Kolkata, Adra, Bandil, and Durgapur. Conversely, medium-grade goods are plentiful in Uttar Pradesh, prompting traders from Kanpur and Lucknow to sell their stock. A similar trend is observed in Agra, where business is sluggish, and goods from Rajasthan's Jaipur Bikaner line are being sold at discounted prices.

In Delhi NCR, demand for raisins remains subdued, with Indian Green Raisins priced between $1,14 to $2,58 per kg based on quality. The trade of yellow raisins is on the decline. While the new crop Kamal is abundantly stocked in the Tasgaon-Sangli line. Given the prevailing market conditions and cash flow constraints, it is advisable to sell goods at current prices. With weddings expected to remain closed for 15 days to two months, prices may further decrease. With average goods currently priced at $0,27 to $0,41 per kg.