As of Thursday, a total of one lakh tonnes of freshly harvested premium aromatic basmati crop has arrived in Punjab’s mandis, with prices ranging from ₹2,300 to a high of ₹3,800 per quintal.
During the previous season, the crop fetched a maximum price of ₹3,295 per quintal. “There is a fear of premium grain scarcity caused by crop damage from floods which led to the price rise,” said vice-president of the basmati exporters association Ranjit Singh Jossan.
According to him, in the beginning of the season, due to the imposition of 50% tariffs by the US on Indian exports, it was apprehended that the prices would fall, but the floods have turned the tide. “We expect prices to rise further when the harvest picks up,” he added.
This kharif season basmati was sown over 6.81 lakh hectares out of a total area of 32.49 hectares under paddy cultivation. Due to the floods nearly 2 lakh hectares of kharif crop, which is predominantly paddy, was submerged which has suffered beyond irreparable loss. Out of the area that was submerged is the basmati belt particularly between the two rivers, Beas and Ravi.
Two mandis, Bhatanwala in Amritsar and Tarn Taran, have witnessed sudden arrivals which have led to a glut-like situation. “To manage the arrivals the Mandi Board has shut the mandis temporarily and will be opened once the crop which has arrived is lifted,” said an official.
{{/usCountry}}Two mandis, Bhatanwala in Amritsar and Tarn Taran, have witnessed sudden arrivals which have led to a glut-like situation. “To manage the arrivals the Mandi Board has shut the mandis temporarily and will be opened once the crop which has arrived is lifted,” said an official.
{{/usCountry}}So far the average price that the crop is fetching is ₹3,300 per quintal. According to Ashok Sethi, director, Basmati Exporters Association, the crop prices are expected to rise. “Currently, the produce has high moisture content and after the grain is dried, the prices will increase and it may touch ₹4,200 per quintal,” he added.
Currently, 1,509 varieties of the premium grain are reaching the mandis and by mid-October, 1121 and 1692 varieties will be ready for harvest and these varieties with long grain and more aroma fetch higher prices.
According to Sukhwinder Singh of Ajnala, 12 acres of 1509 basmati varieties were submerged in floodwater. “It is to be seen how much compensation is being offered by the government as they have capped it to five acres.
“Also, the government is not giving any special compensation to the basmati growers. We demand compensation of at least ₹50,000 per acre,” he demanded.