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The better-than-normal progress of sowing this year is due to ample rains across India. Rainfall recorded till Friday in the ongoing South-west monsoon season is deficient by just 1% compared to normal. About 89% of India’s area has received normal to excess rainfall so far.
With the India Meteorological Department (IMD) predicting more rainfall in central parts of the country, the prevailing flood situation in Indian states of Madhya Pradesh and Uttar Pradesh could aggravate.
There is no such official news so far on Urad crop damage from Madhya Pradesh and Uttar Pradesh.
Boosted by ample rainfall, the sowing of Kharif crops has been completed in 99.3 million hectares, over 93% of the normal area planted during the season, with the sowing of Pulses at a record high. We expect the normal sowing area to be reached by the end of the month.
So far, the area sown with Pulses is 39% more than what is usual by this time of the year. Higher prices of Pulses have led to farmers planting different varieties like Tur and Urad (black gram) in a record area of 13.6 million hectares, 25% more than the five-year average of 10.8 million hectares.
The increase in area is due to higher planting in Indian states like Rajasthan, Madhya Pradesh, Karnataka and Maharashtra.
In the past two years, consecutive droughts have led to a dip in production and record imports, spiking prices. The agriculture ministry expects production of Pulses to come in at 20 million tonnes in 2016-17, over 21% more than the 16.47 million tonnes estimated for 2015-16.
The sowing of Urad dal has rose by more than 27% to 3.24 million hectares compared to last year while it is usually sown in 2.4 million hectares.
Despite a relatively strong export demand from India, Burma bean and Pulse exports in the first quarter of 2016 (January-March) dropped 41% from the same period in 2015 due to low domestic stocks.
India accounted for 67% of total exports in the first quarter of 2016 led by Tur whole and Urad (Black Matpe) varieties. Urad whole varieties led all exports accounting for 31% of total exports.
The retail prices of Urad is likely to fall by 20-30 % , however, it is unlikely it would go below Rs.120 a kg by Diwali festival in India starting from October end.
Since the monsoon arrived more than a week late this June, Urad sowing is expected to continue in the beginning of September as well.
Increased acreage on good monsoon rains and higher supply expected in near future have pounded the buying sentiments as traders are weighing market trend. Urad prices are likely to remain under pressure.
India Kharif Urad Sowing Progress As On August 25
Following are the Urad acreage report state wise as on August 25. The weekly report compiled by Directorate of Pulses Development, Bhopal and released by Ministry of Agriculture, India. (Area in lakh hectare)
Note:Normal Area Is Average Of 2010-11 To 2014-15 | % Change Current Vs Normal Area