Bearish Guar Prices Driven by Increased Market Supply and Positive Monsoon Forecasts

Guar Gum

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Over the past week, guar seed prices in Jodhpur decreased by 1% to INR 5,429 per quintal, with guar gum prices also dropping by 1% to INR 10,592 per quintal. Farmers and traders, fearing continued bearish prices, are off-loading stocks, leading to increased market supply that is pressuring prices downward. Also, the churi prices have risen by 3% amid firm crush margins due to good market demand. Guar sowing has started in north-western Rajasthan, with favorable monsoon conditions likely to boost acreage and stabilize prices. However, strong export demand may prevent a significant price decline in the near future.