The guar market has experianced some developments in the past few weeks. Predominantly due to the uncertainty surrounding the monsoon.
The supply of the raw material at the moment remains steady. The price of which is between 150 – 175 rps per kilo, which approximately equates to $2700-$3000.
However their are not copious amounts of sellers of guar seed on the market, due to the merchants anticipating the prices to increase.
Demand from the oil sector remains strong, while the food industries appitite has not yet retured to previous levels. This could potentially be due to school, college and university summer holidays in Europe.
Prices remain stable for the foreseeable future, unless their are delays in the second and third rounds of the monsoon.
Some guar growing areas have experianced low guar plantation, as farmers have decided to grow more expensive crops like cotton.
This could reduce the aggregate guar crop as compared to the previous year.