Mustard prices cross Rs 7,000 per quintal in many mandis

Mustard prices have constantly been increasing over the last week. The prices have crossed Rs 7,000 per quintal in many of the mandis of the country while the Minimum Support Price (MSP) of mustard for the current marketing season is Rs 5,050 per quintal. Some of the farmers are hoping for a further increase in mustard prices and have stockpiled mustard to profit from this increase.

Mustard prices have constantly been up in grain mandis. The prices are running at Rs 7,500 per quintal in Kota Saloni, Rs 7,100 per quintal in Jaipur and Rs 7,300 in Agra. Mustard is priced at Rs 6,850 per quintal in Delhi, Rs 6,500 in Hissar and Rs 6,440 at Vidisha in Madhya Pradesh. Farmers are selling mustard to traders at Rs 6,300-6,500 at their own doorsteps. Compared to last year, farmers are getting 25-50 per cent higher prices in the mandis. The price of mustard in the corresponding last year was Rs 5,000-5,500 per quintal.

Shailendra Singh Dangi, a farmer from the Kamat village in Datia district of Madhya Pradesh, has grown mustard in a field of five acres. Speaking to Rural Voice, he said, “The price of mustard is Rs 6,500 per quintal in our market currently, but last year in the month of May, we had sold the crop of mustard at Rs 8,000 per quintal in the market. That is why we are not selling the crop at government procurement centres.” He added, “We expect the mustard price to increase, so we will wait for some time before selling the crop.”

Traders say that mustard is much in demand in mustard mills this year. They said that the Food Safety and Standards Authority of India (FSSAI) had banned adulteration of mustard oil on health grounds since last year. Mustard oil is currently selling at Rs 200 per litre in the market, which has led to an increase in demand for mustard. Several brands have increased the maximum retail price (MRP) of mustard to above Rs 250 per litre.

On the other hand, Russia and Ukraine, too, are major edible oil producers. But the export of sunflower oil has not been possible from there due to the war between the two countries. Which has led to a surge in edible oil prices in the global market. So, companies and private traders are buying more and more mustard in anticipation of prices remaining high even in the days to come.

The higher prices of edible oils last year led the farmers to grow mustard in larger areas. According to government figures, the area under oilseeds has gone up by 18.30 lakh hectares in the Rabi season. As per the Central Organisation for Oil Industry and Trade (COOIT), mustard production is estimated to increase by 29 per cent to 109.5 lakh tonnes in 2021-22. India needs about 250 lakh tonnes of edible oils while its domestic production is 111.6 lakh tonnes.