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Market Intelligence › Basic Terminologies
Relationship of Sowing, harvest and monsoon with house price
Published by The Retail Trader · AUG 07, 2026 · Derivatives & Commodities
The prices of agricultural commodities move on a calendar which is not the case in other markets. Sowing, growing and harvest – three rounds, and the behavior of the house is different in all three.
The supply near Harvest is highest, hence the price often remains under pressure. After that the stock starts decreasing and the price slowly comes up.
Monsoon and weather are the biggest variables of the entire cycle, and they affect the actual, not the forecast.
Agri contracts have their own practical issues:
• Liquidity is much less than metals and energy.
• Government policy — export ban, import duty, MSP — can change the price daily.
• Quality specification and delivery center are very specific.
• Regulatory restrictions on some contracts are imposed from time to time.
Seasonality is a trend, not a rule — it is not repeated every year. And in thin liquidity it is most difficult to get out of a wrong position, hence the size should be decided before the view.
This article is for educational purposes only. It is not a buy or sell recommendation, a claim of guaranteed returns, or advisory guidance. Exchanges, SEBI and RBI change rules, rates and procedures from time to time, so verify every figure with your broker or an official source.