Imported Palmolein and soyabean refined oil decline by Rs.7 and Rs.5 each on Friday on increase selling pressure and need based demand despite higher closing of Malaysian market. Groundnut oil rose by Rs.15 for 10 kgs In Mumbai tracking jump of Rs.70 for Telia tin in Saurashtra in last two days. Sunflower oil drops by Rs.5. Cotton and Rapeseed oil rule steady.
Malaysian BMD Crude palm oil futures closed higher by 51, 46 and 45 ringgits a tone on Friday from a five-week low hit the previous day after the European Central Bank pledged to protect the euro zone in comments that encouraged some risk taking in markets. Market players are looking out for palm oil export data for July due next Tuesday for consumption trends after earlier data showed signs of slowing demand. Malaysia's palm oil exports fell 18 percent in July 1-25 period.
Sources said “Due to need based local demand in month end activities remain subdued. Hardly 300 – 400 tonnesof Palmolein was traded during the day at lower rates. Vaibhavi sold about 250 – 300 tonnes of Palmolein at Rs.612 – 613 for 15-30 August while rest was resale traded. Domestic refineries have decreased the rates for Palmolein and Soya oil on favourable import parity. Bounce back in Malaysian palm oil and expected higher domestic demand in coming festivals months along with the deficit rain will keep sentiment bullish. Lack of monsoon in producing areas and worry about crop is a main cause of concern. In Malaysia prices have again become attractive for importing countries and exports should soon show signs of recovery as Palm oil is cheaper than Soya oil”.
End of the day Liberty was quoting Palmolein at Rs.622 – 623 and Rs.625-Rs.626 for September, Super palmolein Rs.675, Soya oil Rs.750 and Sunflower refined oil Rs.770. Ruchi quoted palmolein Rs.615 for August and Rs.618 for September. Soya refined oil Rs.741 for August and Rs.745 for September.
Sunflower refined oil Rs 755 and Rs.760 for August and September respectively. Allana’s rate for palmolein was Rs.622 for 1-15 September. In Saurashtra absence of rain push up prices further higher. In Rajkot Groundnut oil increase by Rs.30 to Rs.1920 (Rs 1,890) for Telia tin and by Rs.15 to Rs 1,250 (Rs 1,235) for loose - 10kgs.
On National Board of Trade – Indore, Soya refined oil August -12 futures was up Rs.788.00 (Rs.786.50)while September -12 was at Rs.790.00 (Rs.790.00). Malaysia's crude palm oil August contracts settled lower at MYR 2,901 (MYR 2,855), September at MYR 2,915 (MRY 2,869) and October at MYR 2,927 (MYR 2,882) a tone.
The Bombay Commodity Exchange spot rates were (Rs/10 kg): groundnut oil 1,200 (1,185), soya refined oil 745 (750), sunflower exp. ref. 700 (705), sunflower ref. 760 (765), rapeseed ref. oil 895 (895), rapeseed expeller ref. 865 (865) cotton ref. oil 755 (755) and palmolein 615 (622).