Covid-19: The fear is palpable; impact varies

The coronavirus scare has slowed down commodity buying and selling in various marketplaces, mostly in…

The coronavirus scare has slowed down commodity buying and selling in various marketplaces, mostly in Madhya Pradesh, Karnataka and Kerala, though operations had been largely unaffected in Telangana, Gujarat and Maharashtra amid other States.

Cardamom auctions in Puttady in Idukki and Bodinayakanur in Tamil Nadu have been indefinitely suspended owing to the prevailing virus scare. The auctioneers told BusinessLine that they have received a directive from the Spices Board officials at Bodinayakanur to cancel the auctions and additional decision in this regard would be issued shortly.

Cardamom traders are trying to keep their fingers crossed above the decision to cancel the auctions. Traders mentioned sellers would get rid of an avenue to liquidate their inventory in the auctions, which is a recognised system for price tag discovery and a lot more than 80 for every cent in the main sector are relying on this unique mechanism. The decision has arrive at an inappropriate time when the sector was on a good take note and gearing to cater to the export demand from customers in the Gulf nations around the world in advance of Ramadhan pageant, traders mentioned.

Pulses trade disrupted

In the same way in Karnataka’s Kalaburgi, where tur/arhar is the important commodity traded, operations has been suspended for about 7 days from Monday. This was right after the to start with casualty in the country owing to the coronavirus an infection was noted from Kalaburgi previous 7 days. “There is a comprehensive shutdown,” trade resources in Kalaburgi mentioned. In a bid to include the spread of virus, the Karnataka Governing administration has placed limitations on mass gathering in community areas.

In the mandis of Indore, the virus scare has impacted buying and selling both equally in edible oils and pulses, primary to decline in demand from customers and rates. The arrivals have also declined as compared to the past. Sanjay Agrawal, a trader in Indore mentioned owing to the scare above the spread of virus, both equally potential buyers and traders are being absent from the sector.

In the Yeshwantpur sector property of Bengaluru, the key transit hub for commodities these types of as onions and potatoes to the southern cities, buying and selling was muted as sector participants largely stayed absent owing to the corona virus scare and the government limitations on community gatherings. Balasaheb Bhende, previous director of APMC, Navi Mumbai, mentioned the virus scare has diminished footfalls in the sector since Saturday. Buyers are shying absent from the sector and rates of fruits have declined by about ten-fifteen for every cent, he mentioned.

Nevertheless, Lalit Shah, Chairman of Latur APMC mentioned that as on Monday, there was no effect of coronavirus scare on the sector operations. Nevertheless, the Maharashtra government has asked all the APMCs to just take precautions so that crowding is prevented in the sector. The APMC Latur has referred to as a conference of all stakeholders including traders, farmers and loaders to examine the challenge.

Precautionary actions

“Closing of the sector operations is not possible as farmers have no other avenue to market their products. But on the other hand, for the process of price tag discovery, about 150 potential buyers and traders converge in the sector, which is also not a very good strategy given the pandemic. Thus, as a middle path, samples of farm products could be procured and the deal could transpire at the shops of the traders, which will see less people today inserting bids. This form of sector operations is nonetheless at strategy stage,” Shah mentioned.

In Telangana, trade was unaffected by the virus scare. Warangal, a single of the most significant hubs for cotton and chillies in the South, continues to get the ordinary arrivals. “On Monday, we received 50,000 bags of chillies. Cotton way too is arriving usually. As the season coming to an conclude, we are acquiring about two,000-3,000 bags a day,” an formal mentioned. “We count on chilli arrivals to go up. They can not maintain it with them. They have to offload the produce.”

Crucial commodities these types of as onion way too is demonstrating no indicator of reduction. Mahbub Mansion Industry Property at Malakpet, a vital sector for Hyderabad and Ranga Reddy districts, sees no effect of arrivals of onion. “Arrivals are down but it is pure for the thirty day period of March,” a Mahbub Mansion Marketing and advertising Committee formal mentioned.

In the same way, buying and selling at none of the Gujarat APMCs has been impacted by coronavirus. “There is no effect on buying and selling activity as these types of. The APMC is working usually with very good arrivals of all crucial commodities. At current we are not in a stress manner,” mentioned Atul Kamani, President of Commission Agents Association at Rajkot APMC.

With Inputs from V Sajeev Kumar in Kochi, Rahul Wadke in Mumbai, KV Kurmanath in Hyderabad, Rutam Vora in Ahmedabad and our correspondent in Indore