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By:

Quaid Najmi

4 January 2025 at 3:26:24 pm

Sunetra Pawar has taken charge, but challenges remain

Mumbai: Days after taking oath as Maharashtra’s first woman Deputy CM, Sunetra Ajit Pawar was unanimously elected president of the Nationalist Congress Party (NCP). This was another major responsibility on her shoulders just a month after her husband’s tragic death in the Baramati air crash. For decades, Sunetra, popular as ‘Vahini’ or just ‘Tai’, chose to be the silent force behind her husband. But she remained accessible, grounded and attentive to the people of Baramati. Sunetra quietly...

Sunetra Pawar has taken charge, but challenges remain

Mumbai: Days after taking oath as Maharashtra’s first woman Deputy CM, Sunetra Ajit Pawar was unanimously elected president of the Nationalist Congress Party (NCP). This was another major responsibility on her shoulders just a month after her husband’s tragic death in the Baramati air crash. For decades, Sunetra, popular as ‘Vahini’ or just ‘Tai’, chose to be the silent force behind her husband. But she remained accessible, grounded and attentive to the people of Baramati. Sunetra quietly built institutions of sustainability, empowering rural youth, women and farmers, and addressed environmental concerns. Earning awards and accolades, she continued in a similar vein until the NCP suddenly split apart in July 2023 and Ajit Pawar fielded her in the 2024 Lok Sabha polls from Baramati. Her opponent was her sister-in-law and the Nationalist Congress Party (SP) Working President Supriya Sule, who easily snatched victory. Barely months later, Sunetra waltzed into the Rajya Sabha with a nudge from the BJP, signalling new political equations. Challenges ahead Sunetra Pawar faces multiple challenges within the party, government, politics and family. There’s a dreaded, but not fully identified, ‘chandal chaukdi’ (gang of four), referred to by all, that’s hyper-active after Ajit Pawar’s death. This can test her authority. Here, Sunetra will have to assert herself and make efforts to carve her independent niche in politics. The sympathy factor may soon evaporate. Another question is whether Sunetra will initiate a ‘merger’ of the two NCPs. This was said to be the ‘desire’ of Ajit Pawar. A close family friend and retired IPS officer, Vikram Bokey, described Sunetra as ‘a gem of a human being, extremely poised, cultured, and with a highly educated background’. “The state witnessed her suddenly blossom into a leader after Ajit Pawar’s tragic passing… She has rekindled hopes among the masses. The people view her as the ideal candidate for the top (CM) post,” Bokey told The Perfect Voice . Sunetra – A village girl who became deputy CM Born on 18 October 1963, Sunetra hails from an influential political family. Her step-brother, Dr Padamsinh Patil, straddled state and national politics with ease for decades. She completed her BA, married Ajit Pawar in 1985, but chose to prioritise family and motherhood and only much later (2024) marked her reluctant political entry to support her spouse. She is a trustee of Vidya Pratishthan, chairperson of Baramati Hi-Tech Textile Park, and a member of the World Entrepreneurship Forum, a French think-tank. She launched the Environmental Forum of India (2010).

Commodity Markets: Driving Forces Behind Global Economic Trends

The commodity market is a platform where raw materials and primary products are bought, sold, and traded. These products range from agricultural goods such as wheat and rice to energy resources like crude oil and natural gas, as well as metals including gold, silver, copper and aluminium. Commodity markets play a crucial role in the global economy because they influence prices, trade flows, and overall economic stability.


Globally, commodity trading takes place through organised exchanges such as the Australian Securities Exchange (ASX), the Chicago Board of Trade (CBOT), the Chicago Mercantile Exchange (CME), and the New York Mercantile Exchange (NYMEX). In India, major platforms include the Multi Commodity Exchange (MCX) and the National Commodity & Derivatives Exchange (NCDEX). These exchanges provide transparent and regulated platforms for hedging, price discovery, speculation, and balancing global demand and supply.


Participants in the Commodity Market There are four main participants in commodity markets Producers (farmers, miners, and oil companies who produce commodities), Consumers (industries and businesses that use commodities as inputs), Traders and investors (participants who trade for profit or risk management) & Governments and regulators (who monitor markets and ensure stability). Commodity trading happens mainly in two ways first Spot Market buying and selling commodities for immediate delivery and second through Futures Market contracts where buyers and sellers agree today to trade a commodity at a fixed price on a future date. Futures contracts help companies manage risk and protect themselves from price fluctuations, especially in volatile markets.


Global commodity prices are primarily driven by demand and supply. However, several external factors also influence them Geopolitical events like wars and conflicts, such as the Russia–Ukraine war, which significantly impacted oil and wheat prices. Weather conditions like floods, droughts, or climate change affecting crop output (for example, floods in Pakistan impacting agricultural supply). Economic growth a strong growth in countries like China increases demand for metals and energy. US Dollar strength most commodities are priced in USD. When the dollar strengthens, commodities become more expensive for other countries, reducing demand.


Importance

Commodity markets are important because they:

• Help control and transmit inflation.

• Impact currency values and trade balances.

• Influence stock markets and corporate profits.

• Determine the cost of living by affecting food and energy prices.


Impact of FY 2026–27 Budget

In the Union Budget for FY 2026–27, the Indian government emphasized manufacturing and infrastructure. A public capital expenditure of Rs 12.2 lakh crore was announced, with strong support for sectors such as biopharma, semiconductors, electronics, rare earths, chemicals, textiles, and capital goods. MSMEs received focused support through a Rs 10,000 crore SME Growth Fund, equity assistance, and liquidity support via platforms like TReDS.


These measures are expected to create a positive impact on commodity markets through:

• Increased demand for raw materials.

• Higher trading volumes and liquidity.

• Better price realization for producers.

• Growth in industrial and metal commodities.

• Reduced import dependence in the long term.

• Strengthened domestic supply chains.


The budget also focused on agriculture and rural incomes by promoting high-value crops, fisheries, AI-enabled agricultural platforms, and expanding irrigation and reservoir infrastructure under the Bharat Vistar initiative. This is likely to boost agricultural commodity output and stability.


Trade Developments

International trade policies also strongly influence commodity markets. Recent discussions between India and the United States, involving reduced reciprocal tariffs and increased trade in energy, technology, and agricultural products, have created positive market sentiment. Additionally, talks aimed at ending the Russia–Ukraine war have raised hopes for stability in global energy and food supplies.


Market Reactions

Commodity markets are deeply interconnected with global economic, political, and financial systems. While domestic policies like India’s FY 2026–27 Budget provide strong support for industrial growth and agricultural development, global macroeconomic shifts, geopolitical tensions, and currency movements continue to play a dominant role. Overall, a stable and well-regulated commodity market ensures balanced growth, price stability, and sustainable economic development across nations.

(The writer is a Mumbai based finance expert. Views personal.)

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