Guar Seed Near ₹8,000 and Guar Gum Above ₹15,000: Can the October Rally Continue?

October has brought renewed attention to India’s guar market. On the NCDEX screen dated 14 October 2026, guar seed futures were trading near ₹8,000 per quintal, while guar gum futures were above ₹15,000. The move is significant for farmers, stockists, processors, exporters and commodity traders, but the central question is whether this strength can be sustained as new-crop arrivals develop.

The guar seed and guar gum price movement at NCDEX snapshot shows the guar seed October contract at ₹8,030 per quintal, up ₹287; November at ₹8,083, up ₹310; and December at ₹8,178, up ₹314. Guar gum October was at ₹15,480, up ₹494; November at ₹15,857, up ₹609; December at ₹16,117, up ₹619; and January 2027 at ₹16,452, up ₹632. 

NCDEX spot references on 14 October were ₹7,762.10 per quintal for Jodhpur guar seed, ₹7,700 for Bikaner guar seed and ₹15,488.25 for Jodhpur guar gum. Exchange spot references are useful benchmarks, but actual physical transactions can differ according to quality, moisture, location, transport, brokerage and delivery terms.

The futures curve and open interest

The November and December contracts were quoted above October for both seed and gum. This upward-sloping structure can reflect expectations about later supply and demand, but it does not guarantee that prices will rise. Carrying costs, seasonal expectations, liquidity and risk premiums also affect futures spreads.

The supplied snapshot showed open interest of 78,230 lots in November guar seed and 77,460 lots in November guar gum, the largest figures among the listed contracts. This makes November important to watch. Open interest by itself, however, does not reveal whether bullish or bearish positions dominate. Price, volume, daily open-interest changes and physical-market evidence should be considered together. The October contracts were also close to expiry, making rollover and position adjustments potential sources of short-term volatility.

Guar Seed and Guar Gum Price Outlook October 2026: NCDEX Rates and Forecast

Physical arrivals are the market’s reality check

Futures strength needs confirmation from Rajasthan’s physical markets. Mandi prices can vary widely across locations and datasets because of quality, moisture, buyer competition and the difference between a price range and a modal quotation. A price reported in one mandi should not be treated as the price available to every seller.

If physical prices strengthen across several producing centres while processors continue buying, the rally would have stronger confirmation. If futures rise but mandi bids remain flat, the market may be running ahead of immediate physical demand. A sharp increase in arrivals accompanied by weaker bids would be a warning that seasonal supply is catching up with demand.

Crop conditions and monsoon uncertainty

Rajasthan is central to India’s guar economy, so harvested area, yield, crop condition and the quantity of marketable seed reaching mandis matter greatly. Sowing estimates alone cannot determine final output: production depends on both harvested area and yield. Rainfall timing and distribution can matter as much as the seasonal total.

Recent national reporting has highlighted weak and uneven monsoon conditions and wider agricultural risks. That context supports closer monitoring, but it does not establish a specific loss in Rajasthan’s guar crop. Guar is relatively drought-tolerant compared with many crops, and the effect of rainfall shortfalls depends on the crop’s growth stage and local conditions. A bullish production argument should be supported by district-level field assessments or reliable crop estimates rather than general drought headlines.

Export demand must absorb higher prices

Guar gum is used in food processing, industrial applications and oilfield operations. India’s export position makes international buying an important part of the domestic price equation. Still, a rise in futures prices does not prove that exports have increased. Prices may also respond to expectations, raw-material concerns or speculative positioning.

Useful indicators include monthly export quantities, export values, destination-wise shipments, unit values and reliable reports of new orders. If export value rises but physical volume does not, the change may reflect higher prices rather than stronger demand in tonnage terms. The reviewed material did not establish a fresh guar-specific export release in the preceding 15 days that conclusively explains the October rally. It would therefore be premature to attribute the entire move to a newly confirmed export boom.

Oilfield demand: important, but indirect

Guar gum is used in hydraulic-fracturing fluids, where its thickening and fluid-control properties support well-completion operations. Crude oil prices can influence drilling economics, but the relationship is indirect. Actual guar gum demand depends on drilling and completion activity, operator spending, service-company procurement, formulations and inventory levels.

Baker Hughes data for the week ending 9 October 2026 showed 603 active US rigs, including 462 oil-directed rigs. The US total was five higher week on week and 56 higher year on year. The international rig count for September was 1,129, down five month on month but up 59 year on year. This is a mixed but potentially constructive signal for energy activity—not direct proof of higher guar gum consumption. Oil-market headlines and temporary production disruptions should be treated as context, not a standalone guar price indicator.

Processing margins connect seed and gum

Processors compare the selling value of guar gum and by-products with seed procurement, recovery rates, energy, labour, finance, transport and other operating costs. If seed prices rise faster than gum prices, margins may narrow and mills may become selective. If gum realisations keep pace, processors may remain active buyers. Without verified prices, recovery rates and costs, publishing a precise margin estimate would be misleading.

Three scenarios through January–February 2027

Bullish scenario

Prices could remain firm or extend the rally if crop assessments indicate lower-than-expected yields, arrivals stay restrained, processors keep buying and export demand absorbs higher prices. Broad physical-price strength and sustained processor procurement would support this scenario.

Base case

If supply is adequate but not abundant and exports remain steady without a major acceleration, prices may consolidate with volatility. New-crop arrivals and changing futures positions could produce two-way movements rather than a straight-line rally.

Bearish scenario

A correction becomes more likely if crop output proves better than expected, arrivals rise sharply, stockholders sell, overseas buyers resist higher quotations or processor margins narrow. A sustained fall in futures alongside weaker physical bids would add to the downside risk.

What market participants should watch

Farmers and stockists should compare local bids with the cost and timing of holding stock, rather than relying only on futures prices. Processors should track seed procurement costs against gum realisations and by-product values. Exporters should monitor actual orders and shipments, not only asking prices. Futures traders should interpret price changes alongside volume, open interest, spot references and contract rollover.

In conclusion, the October 2026 rally demonstrates strong price momentum, but its durability still needs confirmation from the physical market and verified demand data. Consistent strength in mandi prices, processor buying and export volumes would improve the case for a sustained rally. Rising arrivals without matching demand would increase the risk of a correction. The most disciplined approach is to track these fundamentals rather than rely on a single bullish or bearish prediction.

Market note: This article is for information and market analysis only. It is not a recommendation to buy or sell futures or physical commodities. Please consult your fnacial advisor for any finacial decession.

क्या 2019-20 में ग्वार की खेती फायदेमंद रहेगी ?

अमेरिका व चीन के बीच जारी व्यापारिक तनाव के कारण कच्चे तेल की कीमते अन्तराष्ट्रीय बाज़ारों में तेज़ी से गिर रही है l अभी कच्चे तेल की कीमत 61 डॉलर प्रति बरेल से भी निचे आगई है l जो की पिछले चार महिने के निम्नतम स्तर पर है l गिरती हुयी कच्चे तेल की कीमतों ने अंतराष्ट्रीय बाज़ारों में दबाब बना रखा है l अमेरिका में कच्चे तेल की खुदाई की आयल रिग की संख्या में भी गिरावट दर्ज की गयी है l अमेरिक में अभी 984 आयल रिग सक्रिय है जो की पिछले वर्ष की गणना से 76 कम है l बारिश के बाद में कच्चे तेल कीमते ग्वार को प्रभावित करने वाला सबसे बड़ा कारक है l

साधारणतया जून-जुलाई का महीना ग्वार व ग्वार की बिजाई का समय होता है l इसा समय ग्वार की मांग बाज़ार में ज्यादा रहती है। इस समय किसान से ग्वार की आवक बाज़ार में नहीं होती है।ज्यादातर छोटे किसान अपना ग्वार का स्टॉक फ़रवरी-मार्च तक बेच चुके होते है। सिंचित क्षेत्र के किसान प्रमाणित बीज से बीजाई करते है l लेकिन बरानी क्षेत्र में किसान अपने घर का बीज ही काम में लेते है l प्राप्त जानकारी के अनुसार कपास व खरीफ की दूसरी दालों के अच्छे भाव मिलाने के कारन ग्वार की बीजाई पीछल्रे वर्ष से घटने की आशंका है l

ग्वार की नयी फसल अक्तूबर व नवम्बर महीने में आएगी। व्यापारी या खरीददार अभी ग्वार व ग्वार गम के स्टॉक लेने की बजाय नयी फसल के आगमन पर ग्वार या ग्वार गम खरीदने की योजना बनायेंगे। कमजोर व मानसून में देरी के सिवाय कोई भी दूसरा फंडामेंटल कारक अभी ऐसा नहीं है जो ग्वार व ग्वार गम की कीमतों को सहारा दे सके l बाज़ार के जानकारों के अनुसार ग्वार निचे के स्तर 4000 रूपए प्रति क्विटल को नहीं तोड़ेगा l ग्वार अभी 4100 रूपए प्रति क्विटल के आस पास चल रहा है l

इस वर्ष ग्वार व ग्वार गम की कीमतों ने किसानो को कोई ज्यादा मुनाफा नहीं दिया है l पुरे वर्ष के दौरान ग्वार की कीमते 4100-4800 के बीच में घटती बढती रही। ग्वार गम पाउडर की निर्यात की मांग नहीं होने के कारन ग्वार गम के भावों में इस वर्ष तेज़ी देखने को नहीं मिली। ग्वार की कीमतों को मुख्य सहारा इस वर्ष ग्वार चुरी कोरमा की कीमतों से मिला है l ग्वार चुरी निर्यात होने वाला एक महत्वपूर्ण ग्वार उत्पाद के रूप में उभरा है l विदेशों में पशु आहार प्रोटीन की बढती मांग के कारण के ग्वार चुरी व ग्वार कोरमा के निर्यात में बढ़ोतरी हुयी है l ग्वार गम के पाउडर के निर्यात में कमी दर्ज की गयी है हालाँकि अभी पिछले वर्ष के फाइनल आंकड़े नहीं आये है l 

किसान भाई ग्वार की फसल को प्राथमिक फसल के रूप में बिजाई न करे l ग्वार की फसल को दूसरी वरीयता दे l बाज़ार में जीतनी ज्यादा आवक ग्वार की रहेगी किसान को उतना ही नुकसान है l कृषि गोदामों में रखा माल ग्वार के भाव को चढने ही नहीं देगा l मजबूरन किसानों को विदेशी कंपनी से निर्धारित दाम पर माल बेचन पड़ेगा l जो ग्वार गम पाउडर हम भारत से 100 रुपये किलो पर बहार भेजते है l वो ही ग्वार गम भारत में 1000 रूपए प्रति किलो के भाव पर वापस आ रहा है l

अभी तक की परिस्थिति के अनुसार किसान ग्वार के भाव को 5000 रूपए प्रति क्विटल से ऊपर ले कर नहीं चले l जन्हा तक मानसून के आगमन का सवाल है l अभी तक मानसून के सामान्य रहने की उम्मीद है । केरल में मानसून का आगमन हो चूका है। सामान्य मानसून की स्थिति में ग्वार उत्पादन क्षेत्र में खरीफ की दूसरी दलहन फसलों की बिजाई ग्वार से ज्यादा होगी l हरियाणा में हरियाणा सरकार मक्का की खेती पर किसानों को आर्थिक सहायत दे रही है । राजस्थान में भी किसान बाजार मूंग मोठ पर ज्यादा ध्यान दे रहे है, इस वर्ष किसानों को बाजरे के अच्छे दाम मिल रहे है l 

ग्वार व ग्वार गम पर ज्यादा जानकारी के YOUTUBE के चैनल को सब्सक्राइब करे, ताकि ग्वार पर ताज़ा अपडेट के नए YOUTUBE विडियो आपको समय पर मिलते रहे l

Guar gum prices slipped below Rs 10,000 level under selling pressure

Since last two days prices of Guar seed and guar gum are declining continuously in future commodity market. On Monday it was bloodbath for Guar seed and guar gum prices. Market closed with lower circuit. In this week new budget will be put in front of parliament by the central government. Before the announcement of the new budget, gaur seed and guar gum prices are under the pressure of profit booking at upper level.

The Oil rig count data released but Baker Hughes are showing the declining trend in active rig in USA. Currently 621 oil rigs are active in USA which are 150 active rig lesser than the previous year rig count. Major demand of guar gum is driven from the oil and natural gas industry. Active oil rig are major indication of demand trend. Generally NCDEX work are price discovery tool for the Guar seed and guar gum prices.

For next 8-9 month supply will remain the same it will not change up to the arrival of new crop in market. Price movement will depend only on the demand of product. There are two main demand, Demand of the gaur gum powder, Demand guar meal (Churi Korma), beside these if there will be any change in the demand of other animal feed product or guar gum substitute then price may move.

The pressure on prices in future market is transferring to local physical market. There is selling pressure in local markets, so buyers are quoting low for the available stock. There are not trading on current level of prices. The current price fall seems the selling pressure. Prices are expected to bounced back after the budget.

Application of guar gum increasing slowly and slowly. Recently Nestle has launched a guar gum based health supplement product, Nestle Resource Fiber Choice.  It is guar gum based product partially hydrolyzed guar gum is used in this product. There is 98% guar gum in this product. As claimed by Nestle this product is good for Gut Health.

                                                                      @copyright of Nestle

Guar seed and guar gum prices are weak in the local physical markets. Prices of Guar seed and guar gum are quoted lower than Commodity exchanges NCDEX. Future trading of Guar seed and guar gum is also expected to remain low with selling pressure at upper levels. Good quality of Guar seed is traded at Rs 5200/100Kg and average quality Guar seed is traded at Rs 4900/100 Kg. Standard quality guar gum is traded at Rs 9900/100 kg. In interior location, Guar seed is traded up to 4800/100 Kg. Guar seed is being traded weak in the future market. At NCDEX (National Commodity & Derivatives Exchange Ltd) Guar seed-10MT is traded at Rs 5304 stable at previous close for February contract.

guar gum is also traded week in the future market. At NCDEX (National Commodity & Derivatives Exchange Ltd) guar gum- 5MT is traded at Rs 9968, 10115 lower by 1.39 percent or Rs 140/100Kg, 1.33 percent or Rs 136/100 Kg with an open interest of 35955, 21950 for Feb and March month contracts.

Guar prices will remain stagnant due to poor demand from stagnant oil and natural gas industry

This is peak arrival period and guar gum prices are stagnant in market. Due to crop failure and prediction of lower guar seed production farmers, traders and exporters were expecting the boom in guar seed and guar gum prices. but in market things are not working as per predictions.  

Crude Oil Prices:

As per global predictions, crude oil prices will fall further. OPEC countries have agreed to cut production due to lower demand for crude oil. Demand for crude oil will remain slow as the global economy focuses more on clean energy generation. Policymakers are introducing new environmental emission standards for less polluting industries. Currently, Brent crude oil is being traded around USD 82 per barrel, and WTI crude oil is being traded around USD 75.96 per barrel. Oil prices have come under further pressure after a cut of 684,000 barrels per day by OPEC plus countries. There is also news that Brazil might join the elite group of OPEC plus countries. The oil and natural gas industry is a major buyer of Indian guar gum.

 Guar prices will remain stagnant due to poor demand from stagnant oil and natural gas industry 

Oil Rig Count:

According to the oil rig count data released by Baker Hughes, the number of active rigs is increasing internationally. In comparison to last year, there are 962 active rigs globally, which is 51 more than the previous year. In the United States, there are 622 active rigs, which is 162 rigs fewer than the previous year's count. There is a decline in the total active rig count in the USA, Canada, and internationally. Guar gum is the major drilling chemical used in oil production and new rig development.

Global Instability:

Wars are ongoing between Israel and Hamas, Armenia and Azerbaijan, Ukraine and Russia. There are also instabilities in the entire Middle East, including Syria, Lebanon, Egypt, Iraq, Iran, Yemen, etc. There are some reports of a ceasefire in the Hamas-Israel war for some time, but it is not expected to continue for a longer period. There are chances that the war may escalate in the entire Middle East, with a major concern being a potential USA-Iran war.

Assembly Election in Rajasthan:

Assembly elections have been completed in five states in India, and the results will be declared soon, forming a new government. The fresh policies may influence the further movement of guar prices. However, due to the upcoming Parliament election in April-May, there are fewer chances of new policy implementation by the new government, as time will be consumed in new government formation and allocation of ministries. After that, the Model Code of Conduct will come into existence for parliament elections. Assembly elections in Rajasthan are crucial for the guar market as Rajasthan is a major guar-producing state. Guar is a major agricultural commodity, so it always remains in focus for policymakers.

Harvesting and Arrival of Guar:

Harvesting of guar has been completed, and peak arrival is ongoing. Since November has passed, peak arrival will continue in December. Now, large farmers have started holding the guar seed, and they are not bringing it to the market. Stockists will also finish their stocking activity after December. No major price changes have occurred after the production, indicating that either demand is poor or production is not as low as to create a significant gap in supply and demand. There is no problem in the arrival of guar in the market.

There are no major possibilities of guar seed or guar gum supply shortage. Prices will remain stagnant. Currently, industries, exporters, importers, and stockists are waiting for the new government formation, new agriculture policies, and export policies. Before the arrival of the new crop, a new state government and a new central government will be formed. Once the new government is in place, new financial policies will be announced. If good-quality guar seed is available at reasonable prices, exporters, processors, and stockists must consider stocking it. Farmers should also release/sell their stock slowly.

In this last week of November, NCDEX guar seed prices are being traded at INR 5545, 5712, 5766 per 100 kg (quintal) for 20th December 2023, 19th January 2024, and 20th February 2024 contracts. NCDEX guar seed spot price is INR 5622 per quintal. NCDEX guar gum prices are being traded at INR 11390, 11530 per 100 kg (quintal) for 20th December 2023 and 19th January 2024 contracts. NCDEX guar gum spot price is INR 11428 per quintal. In local physical markets (Mandi), guar seed prices are INR 5500 per quintal, and guar gum prices are INR 11400 per quintal.

क्या 2019-20 में ग्वार की खेती किसानों के लिए फायदेमंद रहेगी ?

क्या 2019-20 में ग्वार की खेती  किसानों  के लिए फायदेमंद रहेगी ?? l इसके बारे में पूरी जानकारी के लिए पूरा YOUTUBE विडियो देखे l

ग्वार व ग्वार गम पर ज्यादा जानकारी के YOUTUBE के चैनल को सब्सक्राइब करे, ताकि ग्वार पर ताज़ा अपडेट के नए YOUTUBE विडियो आपको समय पर मिलते रहे l

Guar seed and Guar gum will remain under pressure of speculators.

Assembly election in Guar growing state “Rajasthan” has finished and result has declared. During the last election guar seed prices was an election issue in guar growing belt, specially the western Rajasthan. One reginal party could secure few seats. It was all success of Guar issue. In this assembly election guar was not a hot issue among the voters of Guar growing belt. Guar if preforming against the basic trends of commodity market. At the time of peak arrival when daily arrival was around 90,000 - 1,00,000 bags per day then guar prices was at its top. After that guar seed arrival in market came down to 30,000 bags per day and prices fall against the general law of tight supply. 

Currently arrival is around more than 30,000 per day prices are around 4300-4400. This year export statistics of gaur gum are positive, and it is higher than previous fro the same period from April- September. There was export of 2,65,195 MT of guar gum till September,2018. New data for October and November month has not released by govt. As per market man export is higher than previous year. Fracking activities are increasing in USA and south America. OPEC countries want to decrease the oil production so that crude prices can go up. But USA is increasing the shale crude oil production and putting the pressure on OPEC countries. Guar gum demand and export is increasing continuously since last three years. 

Prices of Guar seed and Guar gum in the clutch of speculators. Once the prices go around 4900, farmers and traders feel that prices will goes further than prices fell sharply with profit booking at upper level. Once the prices go down around 4000 when farmers and traders do the distress selling then strong buying is noticed at lower prices. New production/ supply of guar will come in next year in October month, price movement will depend on demand of guar seed and guar gum market. Demand is stable in local physical market, buying has noticed at every level. 4000-5000 level has emerged as major price bracket. Guar seed prices have strong support of Guar Churi and Guar Korma. Guar korma is exported and used as substitute of Soya protein. 

Next two- three months are very crucial for guar gum as oil drilling companies will import the Guar gum for drilling/ fracking operation. How much guar gum will be exported in this period that will be very important? Up to 14th December there are 1071 active rig operational in USA, this number is 141 higher than previous year for the same period. Recently Mexico has also given contracts for oil and gas drilling blocks. As per global drilling activities, demand of Guar gum will be higher than previous years.

Guar seed and Guar gum prices have stuck in whirlpool of crude oil

Dependency on oil and natural gas industry is taking the guar seed and guar gum prices in uncertainty. Though crude oil is a commodity and it is fuel for global economy, but it has emerged as geopolitics weapon. Global power are trying to prove them selves as superior to control the crude oil prices. With one decision and meeting prices of crude oil start to move ward and next day with another decision prices of crude oil starts to fall. Up and down in prices is regular trend in any business. When demand goes down or production increases then prices tends to go down. Indian Guar seed and guar gum industry is taking the downward crude prices as negative factor. In reality prices of crude oil is going down as production of crude oil is increasing in USA. Today USA is producing more than 11.7 Million barrels per day. USA economy has become net exporter of crude oil.

All this development has happened because of shale crude oil production, which uses fracking technology. Guar gum is major drilling chemical/ingredient in fracking technology. If we look at the data of guar gum export. Then we find that guar gum export is increasing. South American countries have emerged as new destination for Indian Guar gum. Indian Guar gum industry and traders should not respond immediately after guar gum price change. 

As per global rig counts data there are 144 more active rigs count then previous year in this week (08/12/18) USA. Arrival of Guar seed in market has dipped due to election, winter and marriage season. This time is last time of peak arrival after December arrival of guar gum will be fall below 10000 -15000 bags per day. Small farmers have already sold their stock after the harvesting as they don’t have holding capacity. Physical demand of gaur is still very high. 

Guar seed and Guar gum commodities are being quoted strong in local physical markets to strong buying at lower levels. Prices of Guar seed and Guar gum both are quoted strong. Future trading of Guar seed was closed strong at closing of last trading but future trading of guar gum Guar gum was weak at closing of last trading

Demand of Guar gum for oil drilling in USA is increasing

Crude Oil production in USA is increasing regularly and in the month of November Crude oil production in USA is historic all-time high. In the month of November domestic crude oil Production is 11.7 Million Barrels per Day. USA is emerged as largest oil producer of world after Russia and Saudi Arabia. Export of Crude oil from USA is less than 3% percent of global export. It si expected that USA will increase the share of its crude oil export. Its is good sign for Indian guar gum industry that crude oil production in USA is increasing and USA uses fracking technology for crude oil production. Guar gum is used in bulk quantity in hydraulic fracturing for oil drilling.

Active rig count in USA in also higher than previous year. On 21 November there was 1079 rigs in USA which were 156 more than previous year. Oil rig count isn major scale for drilling industry and its input supplier. Active rig count is an active demand indicator for product used in new drilling, completing, producing and processing of hydrocarbon. 

Export demand of Guar gum is high currently. Continuously it is increasing than previous years. Demand of Guar Churi Korma is also high in market. Export of Guar Churi Korma is also on peak. Arrival of guar in market is going down. Most of guar has been settled either with processors or stockist. Availability of guar will be very limited in coming days. USD/INR exchange rate is also coming down. Exporters have to pay more for the local procurement and processing in calculation of USD. 

Guar seed and Guar gum commodities are being traded strong on physical markets due to strong buying at lower levels. Prices of Guar seed and Guar gum both are quoted strong . Forward contracts of Guar seed and Guar gum are also strong due to buying at lower levels. Good quality of guar seed is traded at Rs 4400/100Kg and average quality guar seed is traded at Rs 4300/100 Kg. Standard quality guar gum is traded at Rs 9000/100 kg. In interior location, guar seed is traded up to 4200/100 Kg. Guar seed is being traded strong in the future market. At NCDEX (National Commodity & Derivatives Exchange Ltd) guar seed-10MT is closed at Rs 4311, 4362, 4410 higher by 1.5 percent or INR 63.5/100 Kg, 1.52 percent or INR 65.5/100, 0.96 percent or INR 42/100 with open interest of 79930, 74910, 2060 for December, January and February month contracts. 

Guar gum is being traded strong in the future market. At NCDEX (National Commodity & Derivatives Exchange Ltd) Guar gum- 5MT closed at Rs 8717, 8826, 8965 higher by 2.36 percent or Rs 201/100Kg, 2.07 percent or Rs 179/100, 1.05 percent or Rs 93/100 with an open interest of 23325, 53645, 660 for December, January and February month contracts.

Export of Guar gum from India has increased

As per the data released by the APEDA (Agricultural and Processed Food Products Export Development Authority) export of Guar gum is higher than previous year. This year export of guar gum from April,18 to Sep,18 is 2,65,195 MT. Last year for the same period, guar gum export was 2,52,868 MT. This year there is 12327 MT more guar gum export. In monetary term value of exported guar gum is INR 24,30,00,00,000 or 355 Million USD. Export value of exported guar gum is 19% higher than previous year in Indian Rupees and 12 % higher than previous year in USD.

Export of Guar gum is increasing continuously than previous years. Global crude oil production is increasing. USA has emerged as top crude oil producing country in world. Guar gum powder is used in oil well drilling for crude oil production. As per market men this year production of guar seed is lesser than previous years. Arrival of guar seed is going down in the market. By the end of December arrival of guar seed will be almost finished. Traders are buying the guar seed in market as per market price. There is no over supply of guar seed in market. Demand of Guar korma is high in market that’s why guar gum prices are lower. Prices of Guar seed and guar gum were under pressure of profit booking at upper level. November month contract for guar seed and guar gum in NCDEX was settled around 20 November. Now guar seed and Guar gum are traded for December month contract in commodity market. 

Guar seed and Guar gum commodities are being quoted weak in local markets due to trimming the positions at upper levels in forward market markets. Prices of Guar seed and Guar gum both are quoted weak. Future trading of Guar seed and Guar gum are also weak due to weak guar gum prices. Good quality of guar seed is traded at Rs 4400/100Kg and average quality guar seed is traded at Rs 4300/100 Kg. Standard quality guar gum is traded at Rs 9000/100 kg. In interior location, guar seed is traded up to 4200/100 Kg. Guar seed is being traded upward in the future market. At NCDEX (National Commodity & Derivatives Exchange Ltd) guar seed-10MT closed at Rs 4472, 4531 higher by 1.02 percent or INR 45/100 Kg, 0.87 percent or INR 39/100 with open interest of 122420, 38200 for December and January month contracts.

Guar gum is being traded in upward side in the future market. At NCDEX (National Commodity & Derivatives Exchange Ltd) Guar gum- 5MT closed at Rs 9156, 9300 higher by 1.51 percent or Rs 136/100Kg, 1.32 percent or Rs 121/100 with an open interest of 61045, 1135 for December and January month contracts.

Guar seed and guar gum price are stable in local markets

Guar seed and guar gum are sluggish in the market. Guar seed and guar gum price are stable in the future market local market. Guar seed and guar gum business under pressure. Major pressure is coming from falling crude oil prices. Crude oil prices are down due to overproduction of shale crude oil. Crude oil prices are falling but oil companies are positive about growth in near future.

Guar seed and guar gum traders are in the wait and watch condition. Prices of Guar seed and guar gum are stable since last Friday. These 4 days were very important after four days fear market opened today and Guar seed and guar gum prices remained stable after the pressure of cure oil prices. The arrival of Guar seed in physical market is still very poor. A per marketmen per day arrival of guar and guar gum is around 15,000 Bags. Traders and farmers are confused due to falling crude oil prices. As per expert, this is a positive sign that crude oil prices are falling due to overproduction. Guar gum exporters are waiting for the price rise of crude oil. After a regular fall in crude oil prices, today prices are stable.

There are no any major expectations of sudden crises in Guar seed and guar gum prices as new arrival will come after 8 months. Existing stock of guar Guar seed and guar gum has already stored in warehouses. Within one or two downfalls, the stored Guar seed and guar gum will not come out. Stability in Guar seed and guar gum prices are more important than prices rise. Even if the prices of crude remain stable at current level then drilling will continue in USA and demand of guar gum will keep going. Existing statics are positive for Guar gum export trade, export value and export quantity of guar gum are higher than previous years. Major traded of Guar seed and guar gum in the future market has shifted to March contract.

Guar  and guar gum gum cultivation 

Guar gum is being traded strongly in the future market. At NCDEX (National Commodity & Derivatives Exchange Ltd) Guar gum- 5MT is being traded at Rs 9817, 9944, 10076 higher by 0.14 percent or Rs 14/100Kg, -1.15 percent or Rs -2/100 Kg, 0.15 percent or Rs 15/100 Kg with open interest of 2435, 75285, 3315 for February, March and April contract.

Good quality of guar seed is traded at Rs 4500/100Kg and average quality guar seed is traded at Rs 4400/100 Kg. Standard quality guar gum is traded at Rs 9800/100 kg. In interior location, guar is traded up to 4300/100 Kg. guar seed is being traded strongly in the future market. At NCDEX (National Commodity & Derivatives Exchange Ltd) guar seed-10MT is being traded at Rs 4481, 4512, 4564 higher by 0.46 percent or INR 21.2/100 Kg, 0.33 percent or INR 15/100 Kg, 0.4 percent or INR 18/100 Kg with open interest of 32680, 174560, 18760 for February, March and April month.

Export of guar gum will increase with highest crude oil production in USA after 1970

Crude oil production is increasing in USA day by day. Within some days oil production in expected reach 10 Million (1 Crore) barrel per day. This figure will be highest ever after 1970. USA administration want to increase the production further so that monopoly of OPEC countries over crude oil production can be break down. By the year 2019 USA oil production is expected to increase up to 12 Million (1.2 crore) barrel per day. 

By the end of current budget year revenue of fracking services is expected to increase by 20 % in USA. Total revenue of fracking services will cross 29 Billion USD. Shale crude oil production sector   is emerging as largest employer in USA. 

Indian Guar gum industry will benefit from these business improvements. Export demand of guar gum will increase very much. Indian guar gum industry need to be keep away from speculators and speculative movement, so that crude oil industry doesn’t move to other alternates or substitutes of Guar. 

Stock of oil drilling companies are growing but Guar gum price is downward due to speculations

Pressure of future market Ncdex guar prices is seen local market. Guar seed prices are strong enough in local market but guar gum prices are under pressure. Guar seed is being sold at Rs 4300 / 100 kg and guar gum is quoted at Rs 9300/100Kg lower by 200/100Kg than yesterday.

Guar seed price is maintaining its level of Rs 4300/100 kg  in Jodhpur market. In Siwani mandi guar seed price is being traded at price of  Rs 4275/100Kg and in Adampur mandi it is being traded at price Rs 4280/100 Kg. Guar seed is still very strong commodity. Guar gum prices are under heavy pressure as there is no ready buyer. Due to current commodity market trend most of agriculture commodities are under pressure. Rabi pules and other commodities are being sold below MSP in local markets.

Fundamentally guar seed and guar gum is in strong position as crude oil prices are at highest level of last three years. Demand of guar gum will increase with increased investment in oil and natural gas industry.  

If we see the financial health of major oil drilling company Halliburton. Before one month on 14 December stocks of Halliburton were trending at USD 44. Today stocks of Halliburton are being traded  around USD 54, means with in one month there is around 25% growth. This money will come to Guar gum industry but it will take some time.

Next two- days will be remain under pressure specially for guar gum price . But Guar seed price  will remain firm.  Market will go is upside but not in one week. Speculator are active in market to influence the market.

Export demand of Guar Gum is expected rise as crude oil is at three year's highest level

Crude oil is at highest level of three year. It is being traded above USD 69/barre. After June-2017 prices of crude oil has risen more than 49%. There is huge demand of crude oil due to low production. Prices of crude are moving toward USD 80/Barrel. There are three major reasons behind these prices rise; international demand of crude oil is very high, currently production of crude oil is low, entire north globe is under heavy freezing weather and uncertain global political environment.Oil and Natural Gas industry is attracting heavy investment with increasing crude oil prices. 

As per expert, demand of drilling chemical will increase with increasing crude oil prices. Guar is used as gelling agent in oil drilling process due to its specific viscosity property. India is leading supplier of guar gum. Guar gum is mixed with other chemicals and proppant (type of sand); and this mixture is injected in oil well with heavy pressure. 

Guar is major export agriculture commodity from India and it contribute to forex reserve of country. It is highly volatile commodity as it is cultivated in certain geographical area in a limited quantity. Guar and guar gum is listed on NCDEX for forward contracts and trading. Today NCDEX guar seed price and guar gum prices fell due to profit booking upper level. Speculators are active in market. Market will take some time to adjust these external factors.

Arrival of guar seed is poor in market. Farmers and stockist are holding material. If holding of guar seed and guar gum will continue then it will hurt industry; as drilling company will shift to other artificial alternates. Alternate Chemicals to Guar gum have been developed and tested during last price rise in years 2012-13. Elections are coming near future; few politicians may try to make issue of Guar prices.

Market will not move up within one or two weeks, guar prices and guar gum prices will take time to adjust from various domestic and international factors. Farmers and traders should not expect one side movement.  Various up down will come in guar and guar gum price. Physical market is still very strong supply of guar is limited in comparison to previous years. Demand scenario of Guar gum is very positive.  

Guar and guar gum are getting support from increasing crude oil prices in expectation of heavy demand in future.

In a cycle to 9-10-year Guar gives good return to farmers in this region. Last time Guar gave good return in year 2012 guar price were at highest point. Guar gum prices were trying to compete with Gold. This region enjoyed money directly from oil and natural gas industry due to sky rock guar prices and guar gum prices. in year 2012 Ncdex guar and guar gum prices were also hitting upper side. In year 2012, Govt banned trading of guar and guar gum in future markets. in Year 2012 FMC de-listed guar and guar gum from future markets.

During last two three years oil and natural industry was under heavy pressure and prices hit the lower level. Conditions have changed this year. Oil is improving, and prices are at upper level after 2015. Today Brent crude oil is being traded above USD 69/ barrel. Hope fully with in one or two days it will cross USD 70/ Barrel, which is not a impossible figure. Though open will try to increase the production so that prices of Guar should remain under USD 70/ barrel. If the prices of crude oil go beyond USD 70/ barrel, then USA crude oil production will attract huge investment. OPEC doesn’t want that USD crude oil to attract investment.

Guar gum is major farm export from India. It is used as drilling chemical in oil and Natural Gas industry.  It is grown in western Rajasthan under the drought climatic conditions, where opportunity cost of land is lowest. But agriculture is major employer in this region. Guar is only Industrial crop grown in this region. Except Guar farmers cultivate pulses and millets and some oil seed, which are generally used as food and consumed domestically.

Guar gum is an export demand driven commodity because domestic used of guar gum is not too much. By product of guar gum processing industry is used as cattle feed, which is generally known as Guar Churi Korma.  Right now, Churi Korma is also being exported as a premium price far better than previous years. Today Churi Korm is giving good support to Guar gum industry. 

This year farmers seem better return from Guar and remembers days of 2012, when everyone was discussing only and only Guar. There are major two major price drawn factors supply and demand. As per supply is concerned India produce more than 85% and Pakistan produces 11-12 % of guar seed , rest of 1-2% share is produced in other countries in small quantity. India produce 95% of high quality guar gum. This year crop cultivation area from irrigated area was shrinked due to low guar price in last four- five years and, in rainfed area guar gum crop was shrinked due to poor rainfall pattern. After that crop was damaged due in uneven rainfall. Overall market men are not estimating guar seed production more than 80,00,000 bags, some people are estimating only 70,00,000 bags only. 

As per demand is cornered, data released by govt it was noticed that there is increase in export. Till December is 40 % more export of guar gum in current budget year in comparison to last budget year.  This figure is expected to rise with increasing crude oil prices. 

Yesterday on 10th January 2018 market was in upward trend. There was buying in physical market at higher prices.   In jodhpur market guar was being traded around Rs 4400/100 Kg and Guar gum was being traded around Rs 9600/100Kg. In Forward market at NCDEX ( National commodity and derivatives Exchange ) guar seed was being traded at Rs 4370 / 100 Kg  and guar gum was being traded at 9620 for January contract in closing season. At one-time January contract of Guar seed hit at 4394 and guar gum hit Rs 9695/ 100 Kg at upper side.

Is 2018 a boom year for Guar seed and guar gum or Guar Gum Industry ?

There was big boom in Guar in year 2012 and prices went up to ten times of normal price of that year. At that time condition of market was in favor of  Guar.  In 2012 production estimates were low, new oil drilling were started by fracking method, crude oil prices were at peak.  Same conditions are this times production of guar is low in comparison to last years. USA administration has planned for new drilling for self sufficient energy production, crude oil prices are moving upward and export demand of Guar gum is also increasing.  

As per production is concerned market man are giving an estimate of 70,00,000 - 75,00,000 lac bags of guar seed. This year sowing area was low and guar cultivation under irrigation conditions  were also low due to low prices of last 3-4 years. As per old stock is concerned, at thsi time only new material is coming in market. After discussion with traders it was found only 15-20 % arrival is in old stock. It was also notices that recovery of guar gum also lower in old guar in comparison to new Guar because of low moisture.

Crude oil prices are continuously improving last week it was at high level after 2015, It is expected that prices will rise further as OPEC has cut down its production there is political instability in middle east region and Iran. Export of crude was dropped down in monetary terms during last 4-5 years from Gulf countries. Most of revenue in gulf countries comes from export of crude oil. Govt are struggling to increase the revenue in these countries, recently UAE and Saudi has imposed VAT  on goods to increase revenue.

As per data released by Govt export of guar gum has increased up 45 % in comparison to last year . There is also increase in  revenue in per unit terms. Exiting export data are very positive and as per market information there significant export demand. 

Till now prices of guar has grown up to 40 %. Guar is being traded at Rs 4200 /100 Kg in Jodhpur markets. There is demand in market prices are expected to cross Rs 4500/100 Kg level in this month. As per market men in current scenario Rs 5000 is achievable level. But farmers and traders should not wait for 2012 level. 

As per pakistani traders and farmers prices are also increasing Pakistan. This year production of Guar seed was also low in Pakistan but existing stock is still with traders and farmers in Pakistan. if prices of Guar gum rises in international market then prices of Guar will also go up in Pakistan.

Other than demand from oil and natural gas industry there is good from Food & Pharma industry. After Rice and Buffalo meat, Guar is major farm export commodity from India.  Except domestic factors prices of Guar is also affected with international economic movement like crud oil prices, USD exchange ratio, Geopolitical incidents and international politics. After 4500 level farmer should keep releasing their stock slowly and slowly in parts instead of complete holding or  one lot selling.

Guar gum export 2017-2018 from ( from April-17 to November - 17 )

Prices are also positive in commodity market. Forward contracts of  Jan, Feb, March and April NCDEX are being traded at Rs/100 Kg 4254, 4327,4381, 4457 with open interest of  48000, 42460, 10080, 1110 .