Farm commodity prices soften on monsoon hopes, cereals lead fall

Several items subdued due to a severe cash crunch that forced farmers and traders to sell their stocks after posting recent gains

Prices of agriculture commodities have softened on hopes of a normal monsoon, following a steep rise in first half of May on concerns that the heat wave would take a toll on rainfall. Prices in several commodities began correcting in the middle of the last month, and in many more during the past one week.

Among cereals, maize and bajra have seen sharp fall, followed by guar seed and castor seeds. However, oilseeds led by Soybean, and other farm produce such as wheat, pulses, spices and even cotton fell.

Ajay Kedia, director Kedia Commodities says, “Prices of all major agri