Falling rupee lifts palmolein, soya refined oil

Our Correspondent Updated - December 13, 2011 at 08:21 PM.

bl21 YESBANK Oil Palm_GU03PB2E8.1+BL21_OIL_PALM.jpg

Palmolein increased by Rs 6 and soya refined oil by Rs 2 for 10 kg each on Tuesday after local refiners raised prices following the rupee's fall against the dollar. Demand from brand makers for good-quality groundnut oil pushed it up by Rs 5 for 10 kg. Sunflower refined oil rose by Rs 5 for 10 kg. Sunflower expeller refined oil and cotton refined oil were unchanged. Rapeseed oil fell by Rs 11 for 10 kg, after rising by Rs 21 in the last seven days.

Traders said volumes rose in the physical market as stockists made new purchases for near-future contracts following a bullish sentiment in the soya oil futures market and stronger crude palm oil (CPO) futures on the Bursa Malaysia Derivatives (BMD) Exchange. CPO futures rose on bargain hunting and moderate Chinese buying.

About 400-550 tonnes of palmolein were traded directly with refiners at Rs 584-585.

Liberty quoted palmolein at Rs 592-594 and super palmolein at Rs 605. Ruchi offered palmolein at Rs 585, soya refined oil at Rs 640 and sunflower refined oil at Rs 710. Allana quoted palmolein at Rs 585. In Saurashtra and Rajkot, cotton oil declined to Rs 585-587 (Rs 590-592) on higher arrivals of cottonseeds while groundnut oil was unchanged at Rs 1,335 for a

telia tin and at Rs 870 for loose (10 kg).

Malaysia's BMD CPO's January contracts settled at MYR3,001 (MYR2,996) and February MYR3,002 (MYR2,998) a tonne. Soya oil for January delivery closed sharply higher at Rs 665 (Rs 650.60) on the National Board of Trade in Indore on speculative buying interest.

Bombay Commodity Exchange spot rates (Rs/10 kg): groundnut oil — 890 (885), soya refined oil — 635 (633), sunflower exp. ref. — 650 (650), sunflower ref. — 715 (710), rapeseed ref. oil — 727 (738), rapeseed expeller ref. — 697 (708), cotton ref. oil — 620 (620), and palmolein — 586 (580).

Published on December 13, 2011 13:26