Despite the government ban on futures trade in tur, supply constrains and a price rise in international market have pushed the commodity's rates up in domestic market.
According to traders, tur prices have jumped by about 20 per cent during the last fortnight.
The government, in an effort to curb inflation, had banned futures trade in tur in January.
However, the move apparently failed to rein in prices as strong fundamentals are back in action.
Prices of lemon tur (FAQ) that were at Rs 1,930 per quintal a fortnight ago have soared to Rs 2,300 per quintal. According to market analysts, prices are expected to rise further in the coming days.
The firmness in the prices is on account of low estimated domestic production for the Indian crop along with a crop failure in Myanmar, a major producer of tur.
As per the average estimates, taking into account estimates by the trade and the government, the country is expected to produce around 22 lakh tonne (2.2 million tonne) of tur this year as against last year's 25 lakh tonne (2.5 million tonne).
There may be overall shortage in pulses this year with the Economic Survey projecting output at 14.5 million tonne as against a target of 15.1 million tonne.
According to Pulses Importers' Association office-bearers, there is a pressure on prices. The government needs to further scale up its efforts to import the commodity, the exporters' body said.
According to market watchers, the government is likely to import nearly five lakh tonne of pulses this year and 25 lakh tonne by private importers.
International price of the commodity has also gone up from $450-$480 per metric tonne a month ago to $550. This has also impacted the prices in the domestic market.
