OfBusiness Oil and Seeds Dailies

24^th May’23

Price

• Haldia reported stable prices for mustard oil at Rs. 1050/10kg. Rice Bran Refined is trading at Rs. 825/10kg with a slight decrease of Rs. 5, while Rice Bran Crude is priced at Rs. 765/10kg with the same Rs. 5 decrease.
• In Jaipur, the current price range for mustard seeds is Rs. 5200 to Rs. 5225 per quintal. No price deviation has been noticed.
• In Delhi, the trading price for mustard seeds today was Rs. 5000 per quintal, showing a decrease of Rs. 50.
• Goyal in Kota was buying mustard seeds today at Rs. 5050 per quintal, and no price deviation has been observed.

Demand and Supply

• In Ashoknagar, a total of 700 bags of soybeans and 6000 bags of mustard seeds have arrived.

News

• The domestic market expects soymeal prices to remain range-bound in the near term, with a trading range of Rs. 44,000 to Rs. 46,000 per tonne.
• In 2022-23, India achieved a record-breaking export of 22.96 lakh tonnes of rapeseed meal. India is the leading and most competitive supplier of rapeseed meal to South Korea, Vietnam, Thailand, and other Far East Countries, offering it at a price of $240 per ton.
• The government has instructed retail companies to align their maximum retail prices (MRP) with the decline in global oil prices.
• China experienced a 16% decrease in soybean imports from Brazil during the month of April.
• During the third week of May, Brazil’s soybean exports reached 9.7 million metric tons (MT). However, there was a decline in the pace of soymeal and oil shipments during the same week.

OFB’s Opinion

• Given the weak demand from oil millers and the low prices of mustard oil, it is advisable to note that mustard seed is currently trading at its three-year low. According to market sources, this disparity has led to the closure of most expellers, leaving only a few kacchi ghani units operational. Farmers are hesitant to sell their stock at the current levels, hoping for better prices in the future. Meanwhile, millers are purchasing mustard seed based on their daily crushing requirements.
• It is observed that the consumption of Mustard oil is relatively low in the month of May due to the prevailing heat. However, as the climate stabilizes and rainfall occurs in various parts of India, it is anticipated that the consumption of Mustard oil will increase in the future.