Chana dal, known for its affordability, is bracing itself for a substantial price surge, with traders predicting retail prices to soar beyond Rs 110/kg. Currently the second most economical dal in the market, chana dal and masoor dal are the only ones trading between Rs 85-95/kg, according to data from the Ministry of Food and Consumer Affairs.
While other varieties such as moong, masoor, tur, and urad have already surpassed the Rs 130-140/kg mark, the impending price escalation of chana dal is expected to bring it closer to these higher-priced counterparts.
The second advance estimate of the kharif-rabi season released by the central government on February 29 indicates chana (gram) production to be 121.61 lakh tonnes, a slight decrease from the 122.67 lakh hectares of the 2022-23 period. However, on-ground reports from pulse farmers and traders suggest even lower production due to unfavorable conditions in major growing states like Karnataka, Maharashtra, and Madhya Pradesh, where moisture stress during the rabi season has impacted yields.
Adding to the challenges, recent hail and unseasonal rains have caused losses to the harvest-ready crop, affecting over 74,000 hectares of rabi farm land in Maharashtra, particularly impacting market-ready gram and wheat.
Traders in Karnataka, especially from Gulbarga, report a 30 percent drop in yields due to fungal diseases, a trend echoed in Madhya Pradesh. The government still holds around 9 lakh tonnes of chana (gram) stock, yet to be offloaded.
In regions like Latur, where the market price of chana is currently Rs 5,800/quintal, significantly higher than the government’s declared Minimum Support Price (MSP) of Rs 5,440, traders anticipate further increases. Farmers in areas such as Latur, Indore, and Akola are holding back their rabi chana from the markets, and with lower-than-expected yields, chana dal prices are poised to escalate, potentially aligning with the price range of other dal varieties.
