- Guar gum prices edged higher in Q2 2026 as limited raw-material availability and firm export demand outweighed uncertainty around the upcoming monsoon and crop cycle.
- Weather-dependent guar seed supply remained the key upstream factor, with India accounting for around 80% of global guar production, leaving availability highly sensitive to rainfall expectations.
- Oilfield activity remained the main downstream demand driver, while food processing, textiles, paper, pharmaceuticals and water treatment provided additional consumption support.
In India, guar gum prices increased from ~USD 438.73/MT in April to ~USD 449.00/MT in June, showing a ~2.3% increase. Export demand supported prices as industrial buyers remained active, particularly from the oil and shale gas sector, which accounts for around 90% of exported industrial-grade guar gum consumption. Supply remained sensitive to guar seed availability and expectations for the monsoon, as the crop is predominantly rain-fed. Rajasthan, which contributes about 72% of India’s guar output, remained particularly important to regional availability. Expectations around rainfall influenced farmer selling patterns, processing activity and raw-material procurement during Q2 2026. Export compliance requirements for shipments to the European Union also remained relevant for food and feed applications. Similarly, in China, the prices of Guar Gum were ~USD 789.54/MT in April and ~USD 823.00/MT in June, showing a ~4.2% increase during the quarter.
Analyst Insight
According to Procurement Resource, guar gum prices are likely to remain firm, with monsoon performance, crop expectations and oilfield demand determining the balance between raw-material availability and export procurement.