Source: Business Standard

 

Sesame or til is grown mainly as a kharif crop with Gujarat, Rajasthan, West Bengal, Uttar Pradesh and Madhya Pradesh leading in production. It is the fourth most important oilseed grown in India. After a record crop in 2010-11, output has been lower in the last two years. In order to encourage production, the MSP for sesame was raised by 17.2% in 2011-12 and then by 23.5% in 2012-13, thereby increasing from Rs.2900 per quintal in 2010-11 to Rs.4200 in 2012-13. Now with the delay and deficit in monsoon in 2012, this year's output has been estimated at 7.48 lakh tonnes, 7.6% lower than the previous year, making for strong inflationary pressures through 2012. While exports are expected to decline, demand, especially from Korea and Vietnam are set to be quite strong. The reduced supply will ensure that prices stay high.

IPM data till week ended March 9, 2013. The Indicus Price Monitor, a product of Indicus Analytics Pvt Ltd tracks real-time wholesale prices for 60 agricultural products from more than 3000 mandis across the country. Due to differences in methodology, the actual levels of the IPM differ from the corresponding WPI. However broad trends are in sync with each other.