New Crop Arrival Shakes Up the Market

With the new millet crop arriving in the Indian western zones, prices have seen a correction of USD 0,10 to USD 0,11 per kg. If arrivals continue to increase, prices may drop further by USD 0,06 per kg. After this, business should become profitable again. However, stockists are unlikely to allow prices to fall much further. This season’s millet crop arrived 15 days late in regions like Western Uttar Pradesh, Haryana, Rajasthan, and Madhya Pradesh.

Impact of Government Procurement

Over the last four days, millet prices rose by USD 0,24 per kg due to a lack of government procurement in the markets. In Haryana, the government began purchasing at the minimum support price (MSP) of USD 0,32 per kg, but stockists withdrew as prices continued to rise. As a result;

• Markets in Haryana and Punjab saw sales at USD 0,32 per kg, with prices settling at USD 0,30 per kg.
• In Rajasthan and Haryana, millet prices, previously ranging from USD 0,28 to USD 0,29 per kg based on moisture content, dropped to USD 0,27 per kg.

Temporary Decline, But Business Set to Rebound

Farmers, sensing higher prices, began holding onto their stock, while traders stepped back from purchasing at elevated prices. Experts expect millet prices to drop by another USD 0,06 per kg, but they predict the market will rise again by USD 0,24 per kg. In Haryana and Punjab, old millet prices fell by USD 0,12 per kg, bringing them to USD 0,30 per kg.

Regional Price Variations

• In Rajasthan’s Niwai Tonk quota line, millet prices dropped from USD 0,28 to USD 0,27 per kg for new stock.
• In Morena Line, Madhya Pradesh, traders are buying at USD 0,27 per kg.

The government set the MSP of millet at USD 0,32 per kg and began purchasing on October 1. While prices may drop by another USD 0,06 per kg, market recovery is expected, with prices potentially rising by USD 0,24 per kg.

Conclusion: Market Stabilization on the Horizon

As millet prices stabilize following these corrections, farmers and traders are watching for further adjustments. The market is poised to recover, with prices expected to rise again. However, government procurement and increased arrivals will be key factors influencing the market's direction.





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