| Last month saw spot prices in Bikaner hovering in the Rs 1,550-Rs 1,600 a quintal range. Market sources said the mounting pressure of arrival has subdued prices despite better demand. |
| "The inflow of arrival is taking a toll on the market with supply exceeding demand at present. Almost 50 per cent of the total arrival is directly going to mills while the rest is being held by stockists," said Sanjay Periwal, a Bikaner-based trader. |
| Arrivals have been unabated also because farmers are not holding stocks this time round. "Farmers had anticipated higher rates, but the market has acted in exactly the opposite manner so far," said a Delhi-based commodity analyst. |
| Meanwhile, unconfirmed reports suggest that a positive report is awaited from an European Union team shortly. The team had surveyed the major guarseed growing regions in the country two months ago in order to check the reported presence of pesticides in exported consignments. |
| However, the EU episode has not impacted exports. "Exports to China and European countries have continued despite the survey report pending," Periwal said. Normally, December to February is the peak export season for guargum. Exports have been steady as prices have been lower, marketmen said. |
| According to commodity analysts, a positive report from EU is expected to bring bullishness in the market. |
| As the year end is approaching, arrivals are getting thinner. The arrival in the physical mandis till a fortnight back was close to one lakh bags (each of 100 kg) which dropped to 70,000 bags last week. At present, overall arrival is around 45,000-50,000 bags. Arrival is expected to be over by December-end. |
| Overall crop estimates suggest that output will be in the region of 75 lakh to 80 lakh bags. However, trading sources said output would close to 85 lakh bags. On an average, the entire consumption is over 90 lakh bags. The carry forward stocks are reported to be 15 lakh bags. |
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