As the government gears up to roll out the Goods and Services Tax from Jul 1, coffee traders are treading cautiously, unsure of its potential impact. Exporters and domestic traders are not taking long positions and are buying only hand-to-mouth as there is lot of uncertainty surrounding GST taxation rules. Sale of coffee fell over 20% to 74 tonne from 93 tonne sold at the beginning of the season in January. Under GST regime, green beans as well as the ground and roasted coffee may fall under one tax slab, which, according to the trade, is not justified. Industry speculations are rife on what tax rate would be applied on coffee under GST regime, as the government is yet to specify rates for food products.
Bengaluru coffee auction offtake at 74 tonne, up 25.4% on week.
J. Thomas & Co Pvt Ltd sold 74 tonne of 257.02 tonne coffee on offer at the auction in Bengaluru on Thursday. The volume of coffee sold was 25.4% higher than the previous auction, Of the total coffee on offer, 151.96 tonne was of the Arabica variety, while 105.06 tonne was the Robusta variety. Roasters in the domestic market purchased superior quality Arabica plantation and cherry variety, while merchants continued to be selective in their purchases. Exporters bought Robusta parchment coffee.
Spot sugar prices up in north India as demand rises.
Prices of sugar in the key wholesale markets of Delhi and Muzaffarnagar rose on improved demand for the sweetener, with Stuckists replenishing their inventories at the start of the month. Retail demand from households usually increases during the first week, thereby supporting prices. Delhi and Mumbai, sugar was sold up 10 rupees from previous close. On the NCDEX, the most active May contract of sugar traded up 0.1% from the previous close.
Sugar steady in Maharashtra.
In Maharashtra, prices of the sweetener are expected to fall as there is selling pressure on mills. Sugar prices are seen falling about 10 rupees (per 100 kg) on Monday. On Apr 5, the government had allowed duty-free import of 500,000 tonne raw sugar under the tariff rate quota. The trade body had on Apr 27 allotted 30% of the total quota for import of raw sugar to Shree Renuka Sugars. On the National Commodity and Derivative Exchange, sugar futures rose, in line with the rise in north Indian spot markets. the benchmark May contract was up 0.4%.
Bihar rice 3rd Adv. Est.
Rice output in the state is now estimated at 8.32 million tonne, against earlier projections of 8.49 million tonne. The estimate is still higher than last year output of 6.80 million tonne.
Barley prices down in Jaipur as demand stays low.
Barley prices down in Jaipur as demand stays low.
NCDEX June barley hits over 1-year low on weak demand.
NCDEX June barley hits over 1-year low on weak demand.
Chana prices down in Delhi as arrivals double.
Chana prices down in Delhi as arrivals double.
Chana variety developed in India to help Bangladesh boost yield .
Chana variety developed in India to help Bangladesh boost yield .
Govt FY18 wheat procurement rises to 25.8 million tonne, up 20% on year.
The government wheat procurement rose to 25.8 million tonne up 19.6% on year. Procurement is up nearly one-fifth on year, its progress is slower than expected, and reaching the initial procurement estimate of 33 million tonne seems difficult, Procurement may be closer to 30 million tonne this year. The government had bought 23.0 million tonne wheat from farmers last year. The government has bought 5.4 million tonne wheat in Madhya Pradesh so far, an increase of 45% on year. Last year, procurement in the state had taken a big hit as the crop size was smaller. The government has bought 11.2 million tonne wheat so far in Punjab, up 10.0% on year, and 7.2 million tonne so far in Haryana, up 9.5%.
Prices of urad down in Delhi.
Prices of urad down in Delhi.
Indore wheat prices tad up on poor supply.
Prices of wheat rose marginally in the market of Indore, Madhya Pradesh, due to lower arrivals. Arrivals were around 7,000 bags (1bag=100kg), down nearly 1,000 bags from the previous day. In Delhi, wholesale market, prices of wheat fell because of a rise in supplies from Uttar Pradesh. The most active June contract of wheat ended down 0.1% from the previous close. The May contract also ended 0.5% lower at 1,577 rupees.
Tur up in Akola on govt steps.
Tur up in Akola on govt steps.
India Maize prices down on NCDEX.
Maize prices fell on the NCDEX, taking cues from losses in spot markets. The most active June contract ended down 0.1% from the previous close. Prices fell in spot markets due to subdued demand for the coarse grain from major poultry and starch feed firms. In Nizamabad, maize was sold down 10-15 rupees from previous close.
NCDEX soybean up 1% as traders buy at low prices.
NCDEX soybean up 1% as traders buy at low prices.
Bihar ups year to Jun maize output estimate to 1.7 million tonne.
Bihar has raised its output estimate for 2016-17 (Jul-Jun) to 1.72 million tonne from 1.66 million tonne. The state estimate for kharif maize output is 672,848 tonne, and that for the rabi crop is 1.05 million tonne. A nearly 4% upward revision in the state maize output estimate can be attributed to a rise in yield to 2,526 kg per ha from the earlier view of 2,286 kg.
NCDEX mustard down on spot cues, likely higher output.
NCDEX mustard down on spot cues, likely higher output.
Pulses import to fall by 20% in FY18 on better domestic output.
Pulses import to fall by 20% in FY18 on better domestic output.
Telangana govt procures 0.21 million tonne of tur so far.
Telangana govt procures 0.21 million tonne of tur so far.
Tur area may decline by 25-30 % to 4 million ha this year due to lower price.
Tur area may decline by 25-30 % to 4 million ha this year due to lower price.