Monday, 5 January 2015

Business activities in Guar gum and Guar Gum Seed.

Business activities in Guar: - 

Right now the movement of business activities is slow but after 14th January Guar business activities will increase again. The supply chain of guar gum is balanced and healthy right now. Existing contracts are keep-going smoothly at lower price. In this price down fall big players are working very well.  The arrival of guar seed in market has come down but it is regular is guar crop cycle. Normally supply start to decrease from January. In three month January , February March it comes down in comparison to peak arrival of September , October, November and December. From April onward Rabi crop will come in market.

Supply of Guar: -

Supply is sufficient from farmer side as per industry requirement. If the export keep going on this rate then there will carry forward of additional surplus for next year.   Local/small traders are regularly supplying the guar seed to manufacturers. Big manufacturer have sufficient stock of Guar, which is sufficient for any sudden mismatch in demand and supply. There will be regular supply of average 50,000-55,000 bags /Day in coming 2-3 months for processing units.

Since Cotton rate are also not competitive as comparison to Guar. Farmers are demoralised on Cotton rates.  As per current scenario Guar is Low investment crop, Easy to cultivate, Long storage capacity, Low risk crop and adoptability to climatic condition.

In January there will be bit pressure of supply of Guar due to election in Rajasthan. From March onward Rabi crop arrival will start then farmer, Trader and stockist will active in Rabi ( winter) commodity.


Guar seed and Guar Gum processing. plant 


Trading movement: -

Rate will be under pressure from supply. Any rise in price will lead to oversupply of guar seed from farmer. At current price level farmer are behaving within economic limit. No external factor is influencing their decision. INR 4500-5000/ Qt is a comfortable price range for Guar seed. INR 11,500-13,000 /Qt is a comfortable price range for guar gum.

Last week Guar seed arrival in Rajasthan.


S.N.
Date
Arrival in Quintal
Day
Spot rate

1
24/12/2014
21065
4635


2
26/12/2014
30464
4795


3
29/12/2014
28078
Monday
4846


4
30/12/2014
20577
4760


5
31/12/2014
18883
4819


6
01/01/2015
14819
4695



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