The retail price of split redgram or toor dal in the four districts, which hitherto constituted undivided Adilabad, has declined by about 15 per cent in the wake of demonetisation. The move of the Central Government to do demonetise the high value currency of Rs 1000 and Rs 500 pushed hoarders of this key pulse in Adilabad and Kumram Bheem Asifabad districts to resort to distress sale bringing down the prices.
The retail price of toor dal, pegged at Rs. 110 a kg at present (from the Rs. 120 to Rs. 130 a kg on the eve of November 7), is likely to fall further as there is expectation of a bumper crop of redgram in rabi. Further, hoarders are likely to face difficulties in buying up and storing the crop following demonetisation. Undivided Adilabad is one of the major producers of redgram in rabi season. The net sown area this season, mostly in Adilabad and KB Asifabad districts, is about 60,000 hectares and the production is expected to be over 50,000 tonnes, with the Agricultural department estimating the yield to be 8.5 quintals per hectare. In 2015, the high price of the pulse saw it being hoarded by petty traders who buy the produce from tribal farmers at places like Indervelli mandal headquarters (Adilabad) and Jainoor and Asifabad (KB Asifabad). Though much of last year’s produce was exported to major markets in Maharashtra, the quantum of illegally hoarded redgram in these places was reportedly between 2000 and 2500 tonnes.“No sooner was demonetisation announced I sold my 40 quintals of redgram at Rs. 4,800 per quintal which was more than Rs. 1,000 less than the price on November 7. I need money to carry on with my regular business,” confessed a petty trader at Jainoor on conditions of anonymity. While most of the redgram farmers lost heavily by selling their produce to hoarders last year only because they could not access markets, the current season will see a repeat performance as the price has plunged below its minimum support price of Rs. 5,050 per quintal.
