Commodity Outlook – Wheat

Sowing period: October
Harvesting period: April to May
Crop season: Rabi

Key growing locations:

  1. Madhya Pradesh – Ujjain, Ratlam, Dhar, Sehore, Indore
  2. Rajasthan – Kota, Baran, Chittorgarh, Bundi, Jhalawar
  3. Uttar Pradesh – Kanpur, Varanasi, Agra, Bahraich, Hardoi
  4. Maharashtra – Mumbai, Vashim, Dhule, Akola, Nandurbar
  5. Gujarat – Rajkot, Sabarkantha, Dahod, Junagarh, Ahmedabad

Production trend and Stock position:

  • According to Ministry of Agriculture, the sowing acreage of Wheat as on January 31, 2020 was 336.18 lakh hectares (lh) up by 12.32 percent compared to 299.30 lh during the corresponding period.
  • Acreage under wheat has increased in the states of Madhya Pradesh, Gujarat, Maharashtra and Rajasthan till date.
  • The Food Corporation of India (FCI) had declared the reserve price of wheat under OMSS which had been reduced to 2,135 per quintal for fair average quality (FAQ) and to 2,080 per quintal for lower quality. The benchmark price was ` 2,245 per quintal for the Jan-Mar period of 2019-20.

Source: Agmarknet
Note: February Mandi arrivals are for the period: 1 – 20 February 2020

Source: NCDEX
Note: Markets currently are in Contango where the Futures market prices are higher than the Spot market prices.

Market commentary: Price outlook

  • Wheat prices are likely to trade steady to slightly weak to below Rs. 2,150 – 2,000 per quintal levels in the immediate / short term.
  • Overall spot market prices of Wheat have been trading above Rs. 1,925 per quintal which is the government’s fixed minimum support price for Wheat.

More Articles for You

किसान सफलता कार्ड

भारत में कृषि वित्त कृषि व्यापार की एक आवश्यकता है। कृषि वित्त न केवल खेती, उत्पादन और फसलों के व्यापार …

Weekly Soybean Report

Current Market Developments: The adjacent Soybean price trend chart shows that prices has declined significantly in the last 10-12 days …

Indian Agri Finance System: Challenges & Opportunities

The importance of agri finance, especially in rural India, cannot be ignored. The structure of the agri finance system in …

Weekly Groundnut Report

Current Market Developments: Since last fortnight Groundnut prices in Gondal, Rajkot and Gadag spot markets have shown weak trend as …

Top Indian agritech trends 2023

The Indian agriculture sector is being immensely pressurized by issues of the increasing population, unfavorable climate occurrences, and land limitations. …

Weekly Sesame Seed Report

Current Market Developments: As depicted in the Sesame seed prices trend chart, prices have remained range bound with slightly weak …

WhatsApp Connect With Us