Weather:
Heavy rains were reported last week in Rajasthan, Haryana, and Gujarat. Isolated showers are forecasted for Haryana and Gujarat over the next seven days. Meanwhile, Pakistan has seen beneficial rains in the guar-growing regions this past week.

India Guar Gum Market:
Guar sowing is now complete. As previously reported, initial planting estimates are approximately 2.5 million hectares, compared to 3.2 million hectares last year. Timely rainfall is expected to increase yields, offsetting the reduction in planted acreage compared to last year. Despite lower plantings, prices remain subdued.

Pakistan Guar Gum Market:
The guar gum market in Pakistan remains stable, with no significant changes from the previous update. Speculators and stockists are expected to maintain current levels despite favorable weather conditions. Guar meal prices remain low, which is contributing to higher guar powder prices compared to India. Availability of guar seed is limited due to the season’s end.

Tariffs:
Current India tariff levels are as follows:

  • 10% on shipments past April 9
  • 25% on shipments past August 7
  • 50% on shipments past August 27

A 19% tariff on Pakistan goods is set to take effect starting August 7.

Legal Update:

  • The U.S. Court of Appeals has ruled that the International Emergency Economic Powers Act does not authorize the President to impose tariffs.
  • The Trump administration has appealed this ruling, and the Supreme Court has agreed to hear the case in November.

Ocean Freight:
No new updates to report. The Trump administration has implemented new port-of-entry fees starting October 14. Chinese-owned and operated vessels will face a $50/net ton cargo fee, increasing to $140/net ton by 2028. Chinese-built but non-Chinese-operated vessels will incur a lower fee of $18/net ton, rising to $33/net ton. These fees are based either on net tonnage or container count. The fees will reportedly be capped at five rotations, with exemptions for vessels carrying U.S. exports. In short, this is a complex and evolving situation.

We will continue to monitor these developments and provide timely updates as the season progresses.