Sluggish trend in mustard continued today amid lack of buying support and rise in arrival of new mustard crop in mandis.
On Thursday, mustard oil in Indore slipped to Rs 730 for 10 kg (Rs 738). Similarly it was down Rs 10 in Morena at Rs 735, while it ruled at Rs 725 in Neemuch (Rs 730).
In Rajasthan and Gujarat also mustard oil witnessed downtrend with prices in Kota declining to Rs 735 (Rs 745), while in Jaipur, it declined by Rs 15 at Rs 750.
In Gujarat also, mustard oil slipped by Rs 5 to Rs 730 for 10 kg. Compared with last week, mustard oil in Indore has fallen by Rs 28, while it has declined by Rs 25 each in Moorena and Neemuch.
Sluggish trend in mustard oil will likely to continue as arrival of new mustard seeds will pick up in the coming days.
Sluggish trend also prevailed in mustard seeds amid arrival of new seeds. While new mustard seeds were quoted at Rs 3,900 a quintal, mustard seeds (old) in Indore ruled at Rs 4,300, while raida ruled at Rs 3,700.
With arrival of new mustard seeds picking momentum, futures of mustard appear to be bearish in the coming days.
Expected rise in crop output will further lend support to bearish sentiment in mustard. The output in the country this year is expected to be around 65 lakh tonnes against 50-55 lakh tonnes last year.
Plant deliveries also declined to Rs 3,900-3,925.
In futures, mustard seeds traded lower on lack of buying support with its April and May contracts on the NCEDX closing at Rs 3,427 (down Rs 20) and Rs 3,454 (down Rs 24).
Arrival of new mustard seeds was recorded at 15,000 bags, while 60,000 bags of old mustard seeds were offloaded in the country against 4,000 in Madhya Pradesh, 6,000 in Uttar Pradesh, 35,000 in Rajasthan, 7,000 in Punjab and Haryana, 3,000 in Gujarat and the remaining 5,000 elsewhere in the country.