Shortage of guar gum

Rx360 reports a shortage of guar gum. The legume, Cyamopsis tetragonoloba, is the source of guar seed and gum, a major cash crop in India and Pakistan, but it has also been grown in the southern US for some time. The shortage has been attributed to a weak crop in Brazil, and also to increased use in the fluid used for fracking wells. The US food industry is the major user, but its use in drug formulations as a binder and stabilizer is also significant. India is the major world supplier, and there the Forward Markets Commission launched an investigation into price fixing, has banned some Indian commodities traders, and is considering banning more. The FMC has also increased the margins (PDF) required for guar gum and seed trades. TopNews.in reports that prices continue to increase.