Jaggery prices declined 10 per cent in the past fortnight on the back of a huge spurt in arrivals and slackening demand. | |
| In Sangli, Karad and Solapur today, the average quality jaggery was quoted in the Rs 16-20 a kg range, while in the Mumbai market, the same was sold at Rs 18-24 a kg. |
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| In Uttar Pradesh, another major jaggery-producing centre, the balti variety was quoted between Rs 475 and Rs 485 per 40 kg, while chaku and khudpa were sold in the Rs 480-500 and Rs 475-480 ranges, respectively. |
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| Traders expect another Rs 2 drop in per kg prices across the country on fresh arrivals of the new season flush and huge carryover stocks of the last year. |
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| At present, daily arrivals in Mumbai, Hapur and Muzaffarnagar are estimated to be around 12,000 quintals, 3,000 quintals and 8,000 quintals, respectively, which are much higher than the average off-season arrivals of 3,000-4,000 quintals. |
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| The seasonal demand is still missing in the market. "It will take at least one month for the demand to be in full swing," a Mumbai-based trader said. |
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| According to Deepak Shah, partner at Mumbai-based leading jaggery producer Nagindas Harilal & Co, this year, the recovery has been higher in UP owing to a favourable monsoon there. So, the sugar cane meant for jaggery production, which could probably attain maturity in December, is being harvested now. |
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| As a general practice, cane of less than 9 per cent recovery is not accepted by sugar mills for crushing and, hence, the low-recovery cane is supplied to jaggery producers. |
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| Jaggery production for the ongoing season "� beginning October 2006 "� is pegged at 120 lakh tonne compared with 100 lakh tonne last season. Sugarcane supplies for the production of jaggery went up to 10 per cent till last year, which is expected to move up to 12 per cent despite major expansions carried out by sugar mills. |
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| Sugar mills in Maharashtra are pitching for higher prices in the range of Rs 1,200 a tonne compared with statutory minimum price of Rs 802.50 a tonne. |
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| "Daily new arrivals of 1,800-2,000 tonne have blocked the movement of old stocks, thereby suppressing prices by almost 40 per cent in the last fortnight," said Bijendra Kumar, owner of Durgadas Narayandas & Co. |
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