Experts suggest favourable conditions for basmati prices this season
The Agricultural Market Intelligence Centre (AMIC) of Punjab Agricultural University (PAU) has predicted a favourable scenario for basmati prices this season. AMIC incharge Jagrup S Sidhu said the Centre had been continuously monitoring the demand, supply and prices scenario of basmati and expects better prices for basmati growers during 2013-14.punjab Updated: Nov 06, 2013 21:53 IST
The Agricultural Market Intelligence Centre (AMIC) of Punjab Agricultural University (PAU) has predicted a favourable scenario for basmati prices this season.
AMIC incharge Jagrup S Sidhu said the Centre had been continuously monitoring the demand, supply and prices scenario of basmati and expects better prices for basmati growers during 2013-14.
He advised the farmers to avoid glut in the market by regulating the arrival to fetch maximum prices. The produce should be cleaned and dried up to the required level to add further value, he added.
Sidhu observed that the export demand for Indian basmati rice was escalating quickly due to the widening of international market and devaluation of Indian rupee. Besides, the traditional main importers of basmati rice such as Iran, Saudi Arabia, UAE and Kuwait; and new importers such as Iraq, Russia and China had shown interest for the India's finest rice, he further said.
“Consequently, the export of basmati rice from India increased from 23 lakh tonnes during 2010-11 valued at Rs 11,354 crore to 31 lakh tonnes with the value of Rs 15,450 crore during 2011-12. It touched to about 35 lakh tonnes during 2012-13 with total realisation of Rs 19,391 crore,” the incharge said.
The average international prices of basmati rice also remained favourable around US$1,000 per tonne during 2012-13 and were currently ruling between US$1,050-1,400 per tonne. Consequentially, the domestic prices of basmati paddy also remained high in the range of Rs 2,500 to Rs 3,500 per quintal during 2012-13 and currently ruling above Rs 3,000 per quintal.
Sidhu further said that the area in major basmati growing states was expected to enhance by 20%, from 15 lakh hectares to 18 lakh hectares, and production was expected to increase from about 40 lakh tonnes to about 45 lakh tonnes.
The area under basmati rice in Punjab increased by about one lakh hectare from 4.58 lakh hectares to 5.50 lakh hectares due to promotion of basmati under state diversification plan, he said.
The production of basmati rice was expected to increase from 12 lakh tonnes to 14 lakh tonnes, he said, adding that, similar trends were also expected from other main basmati growing states such as Haryana, Uttar Pradesh, Uttarakhand, etc.