State-owned trading firm MMTC today said it has started selling imported black mapte (Urad) through the National Spot Exchange Ltd (NSEL) in a bid to reach Pan-India buyers and fetch better prices.
MMTC said NSEL will enable the company to reach out to all classes of buyers on a pan-India basis in a transparent manner on a real-time basis, which is difficult to achieve in the physical tendering system.
"We are happy to launch black mapte MMTC contract on the NSEL platform. Using this platform has helped us achieve better price realisation than the physical tender system. This will help MMTC in realising the most optimal price for black mapte at any given point of time," said MMTC's Chief General Manager, West Zone, M G Gupta.
The move is aimed at reaching out the end-users/dal millers by reducing cost of intermediation and bringing transparency in the entire operation, the company said in a statement.
Since millers located in different parts of the state are able to bid electronically, it saves intermediation cost. Electronic auctioning at NSEL allows competitive bidding by buyers, which helps PSUs realise higher prices.
When MMTC invited tenders to sell its urad of Myanmar origin, the highest bid received was for Rs 4,440 per quintal. On the NSEL platform, the trade was successfully executed for Rs 4,660 per quintal providing incremental realisation of Rs 220/quintal, the company said.
Earlier, Hafed, a farmers' co-operative of Haryana had successfully used the NSEL platform for auction of coarse grain. When it conducted the auction of bajra through physical tendering system, the highest bid received was of Rs 980 per quintal while the same material was sold on the NSEL platform at Rs 1,025 per quintal.