Agri Commodity Technical Report 24 June 2024 - Geojit Financial Services Ltd
MARKET NEWS/UPDATES
* The area under kharif crops in Telangana was at 2 mln acres (1 acre = 0.40 ha) as of Wednesday, drastically higher than the kharif crop area of 153,889 acres a year ago, according to data from the state government. The acreage is still lower than the normal kharif crop area of 13.1 mln acres for the entire season by 85%, the data showed. Maize, red gram, jowar, and soybean are the main kharif crops grown in Telangana. The total area under major coarse grains, which include jowar, bajra, maize, and ragi, rose to 51,209 acres from 3,514 acres a year ago, the data showed. The area under maize rose to 37,766 acres from 3,144 acres a year ago. The season's normal area for maize is 609,458 acres, and it covers the most area under major millets, as per data. Jowar was sown across 13,422 acres, higher than 370 acres a year ago. Similarly, the area under pulses rose. Pulses acreage was up 476% on year at 90,332 acres, though it was lower than the season's normal acreage of 852,098 acres. The acreage of red gram was up at 76,587 acres from 13,542 acres. The area under food grains rose to 169,801 acres from 31,302 acres last year. Oilseed acreage was at 15,180 acres, up from 712 acres a year ago. The normal area for oilseeds in the season is 548,339 acres. Soybean accounted for 84% of the total oilseed acreage at 12,750 acres, up from 201 acres a year ago. As per meteorologists, the southwest monsoon is active in Telangana. Moderate to good rain was received all over Telangana during the week that ended Wednesday. During the week, 48.5 mm rainfall was received against the normal of 31.8 mm, with a deviation of 53%. The state received 85.3 mm rainfall in June till Wednesday, up from 78.5 mm last year. The water level in major reservoirs in the state as of Wednesday was 223.53 bln cu ft, down from 370.02 bln cu ft a year ago, according to government data.
* The Cabinet Committee on Economic Affairs has increased the minimum support prices of 14 key kharif crops by 1.4-12.7% for the marketing season 2024-25 (Oct-Sep). The minimum support price of paddy (common) has been increased by 5% to 2,300 rupees per 100 kg and that of paddy (grade A) has been raised by 5% to 2,320 rupees per 100 kg. "The increase in MSP for Kharif Crops for Marketing Season 2024-25 is in line with the Union Budget 2018-19 announcement of fixing the MSP at a level of at least 1.5 times of the All-India weighted average cost of production," the government said in a release. The minimum support price of tur has been increased by nearly 8% to 7,550 rupees per 100 kg for the upcoming season, and that of urad by 6.5% to 7,400 rupees per 100 kg. The minimum support price of moong has been raised by just 1.4% to 8,682 rupees per 100 kg for 2024-25 season. The government has also increased the minimum support price of maize by 6.5% to 2,225 rupees per 100 kg. Minimum support prices, or the rates at which the government buys crops from farmers in case prices in the market fall, give security and direction to farmers in terms of realisation from their produce. They also help boost production of a desired crop. Higher minimum support prices prompt farmers to add more area under these key kharif crops. In recent years, the government has been promoting the cultivation of crops other than cereals, such as pulses and oilseeds and nutri-cereals, by offering a higher MSP for these crops. The highest absolute increase in minimum support prices over the previous year has been recommended for oilseeds and pulses, the government said in the release.
* The water level in 150 key reservoirs of the country was 37.299 bcm as of today, which is 21% of the total live storage capacity, according to data from the Central Water Commission.The current water level is down 20% from a year ago and 9% from the average of the past 10 years.In the northern region, the water level was 5.488 bcm, 28% of the live storage capacity compared with 39% a year ago. n the eastern region, the level was 3.873 bcm, 19% of the live storage capacity as against 18% a year ago.In the western region, the water level was 7.608 bcm, 20.5% of the live storage capacity as against 24% a year ago. In the central region, the water level was 12.185 bcm, 25% of the live storage capacity. A year ago, the level was 32% of the live storage capacity. In the southern region, the water level was 8.508 bcm, 16% of the live storage capacity compared with 21% a year ago. Assam, Jharkhand, Tripura, Bihar, Uttarakhand, Karnataka, and Kerala have better storage in percentage terms compared with the same period last year. However, water storage has dropped on year in Himachal Pradesh, Punjab, Madhya Pradesh, Rajasthan, Maharashtra, Uttar Pradesh, Chhattisgarh, Telangana, Andhra Pradesh, and Tamil Nadu, while Gujarat, Nagaland, Odisha, and West Bengal had the same storage as last year. Of the 150 reservoirs, 86 reported more than 80% of normal storage, while 64 reported 80% or lower of normal storage levels. Of the 64 reservoirs, 31 had storage up to only 50% of the normal level. Since Jun 1, India has received 77.0 mm of rainfall, 17% below the normal level of 92.8 mm for the period, according to the India Meteorological Department said.
* The area under kharif crops in Maharashtra rose 363% on year to 809,745 ha, according to data from the state agriculture department released on Tuesday. During the same period last year, kharif crop acreage in the state was 174,729 ha. Kharif crops are sown at the beginning of the first rains during the beginning of the southwest monsoon season around June, and harvested at the end of the monsoon season around October. The area under rice was at 27,983 ha, down from 43,110 ha a year ago. The area under food grains rose to 99,027 ha from 47,048 ha a year ago, according to the data. Acreage under pulses also rose to 50,459 ha from 331 ha a year ago. Sowing of maize, tur, moong, soybean and cotton has started in most parts of the state, the release said. The area under maize rose 57,827 ha, from 1,100 ha in the previous year. Similarly, the area under cotton rose to 478,959 ha, from 126,916 ha last year, according to the data. Soybean acreage was higher at 176,260 ha, compared with 223 ha last year. Acreage under sugarcane rose to 953 ha against 173 ha a year ago. The water level in dams in Maharashtra is at 19.93% of the capacity, compared with 27.35% a year ago, according to data from the Maharashtra water resources department on Wednesday
For More Geojit Financial Services Ltd Disclaimer https://www.geojit.com/disclaimer
SEBI Registration Number: INH200000345