Low Yields in Canal Belt and Western Rajasthan

Guar gum prices are at their lowest this season, with USD 0,96 per kg being the lowest recorded price. Market expert Gajendra Parakh highlighted the poor guar crop yield this year. In the canal belt, early-sown guar crops have drastically reduced yields. Farmers report only one to one and a half quintals per variety. Last year, the yield was around three quintals. In Western Rajasthan, crops sown between August 1st and 15th also face challenges. Seedling growth is stunted, and the plants struggle without sufficient rain.

Weather-Dependent Outcomes

Crops sown in July show slightly better results, but they still fail to promise a strong harvest. Leaves on guar plants are withering, and fields look dry. Parakh emphasized that the next 10 days are crucial for estimating the final guar crop yield. Significant rainfall could improve the yield. However, without rain, the guar crop might only produce around 65 to 70 lakh bags, far below the expected one crore bags. Experts predict a 10 to 15 percent fluctuation in the crop compared to last year, but no major improvement.

Multiple Sowing Phases Affecting Outcome

This year, Rajasthan experienced three phases of guar planting: June, July, and August. This irregular planting has led to uneven crop development across the region. Crops sown in August desperately need heavy rains. Without it, there might be little to no harvest by December. Despite poor crop performance, further declines in the guar market seem unlikely. Market pipelines are empty, supporting price stability.

Price Outlook for Guar and Guar Gum

At present, guar prices range from USD 0,65 to 0,66 per kg, while guar gum prices hover between USD 1,20 to 1,34 per kg. With low yields, the price of guar gum, currently USD 1,20 per kg, should be considered the season’s lowest. If rains do not arrive, prices may surge, potentially reaching USD 1,50 per kg. Mill operations face challenges due to inconsistent crop performance, making equality in the guar gum market difficult to achieve.

Conclusion: Rainfall to Decide the Fate of Guar Prices

The guar market faces uncertainty this season. Rainfall in the coming weeks will determine whether yields improve or remain below expectations. Current prices reflect the season’s lowest, but prices could rise sharply if the rains remain absent.

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