Question : PRICES OF GUAR



(a) whether the spot prices of guar have crashed in Rajasthan due to high output during the last one year and the current year;

(b) if so, the details thereof along with its impact on export/import and derivative trading of guar and guar products; and

(c) the steps taken to provide assistance to the farmers affected due to lost deals and low prices?

Answer given by the minister


THE MINISTER OF STATE (INDEPENDENT CHARGE) FOR CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION(PROF. K. V. THOMAS)

(a) & (b): As per the information from National Commodity Sc Derivatives Exchange (NCDEX) Mumbai, polled spot prices of Guar seed and Guar gum at Jodhpur, Rajasthan, for the year 201 land 2012 are volatile. The details are as follows:

Polled Spot Prices at NCDEX, Jodhpur 
Per 100 Kg
Year(end of Month) Guar Gum Guar Seed 2011 2012 2011 2012
January 7787.50 39180.05 2761.50 12172.80
February 8500.00 57681.00 2894.60 18251.90
March 8421.90 93670.00 2833.05 29113.40
April 8822.90 98600.00 2996.10 30004.05
May 10162.50 94656.00 3237.60 28530.00
June 11500.00 56202.00 3620.85 17118.00
July 14400.00 66555.00 4390.80 19971.00
August 14473.35 28594.00 4358.50 8980.95
September 14458.35 22924.50 4547.75 7512.90
October 14442.30 26622.00 4642.75 8559.00
November 16573.80 33524.00 5098.45 10936.50
December 22568.45 39158.30 6789.45 12518.60

The data on area, production and yield of Guarseed in the State of Rajasthan is as follows:-
Year Area(`000 Hectares) Production(`000 tonnes) Yield (Kg/Hectare)
2010-11# 3000.78 1546.47 515
2011-12# 3094.79 1847.66 597

# Provisional

As per the data available with APEDA, the volume (in terms of value) of exports of Guar gum rose from Rs.441611.00 lakh in 2010-11 to Rs. 1635674.17 lakh in 2011-12.

Futures trading in guar seed and guar gum has not been allowed since 27th March, 2012. Hence, it is not possible to assess the impact of spot market on the derivative market.

(c) : There is no such scheme in the Central Government to provide assistance to the farmers affected due to lost deals and low prices.