Select edible oils up on seasonal buying

PTI New Delhi | Updated on January 29, 2011 Published on January 29, 2011

A farm worker weeding at a mustard field. Brassica (rapeseed-mustard) is the second most important edible oilseed crop in India after groundnut.   -  Business Line

Increased buying by millers and retailers to meet the ongoing marriage season demand and a firming trend in overseas markets strengthened the select wholesale edible oil prices.

Select edible oils strengthened in the oils and oilseeds market during the past week on sustained buying by vanaspati millers and retailers for the ongoing marriage season amid firming global trend.

A few non-edible oils also moved up on increased buying by industrial units. Trading volumes marginally declined, as the market remained closed on January 26 for ‘Republic Day’.

Traders said increased buying by millers and retailers to meet the ongoing marriage season demand and a firming trend in overseas markets, strengthened the select wholesale edible oil prices.

Palm oil rose 0.4 per cent to $1,211 a tonne in Kuala Lumpur, the main hub for global oil trading.

In the national capital, mustard expeller (Dadri) and cottonseed mill delivery (Haryana) oils gained Rs 10 and Rs 20 to Rs 6,080 and Rs 5,740 per quintal, respectively.

Soyabean refined mill delivery (Indore) and soyabean degum (Kandla) oils rose Rs 30 and Rs 10 to Rs 6,550 and Rs 6,160 per quintal on reports of a steep rise in its prices in the overseas markets.

Palmolein (RBD) and crude palm oil (ex-Kandla) moved up by Rs 80 and Rs 70 to Rs 6,250 and Rs 5,370 per quintal.

In line with a general firming trend, coconut oil shot up by Rs 60 to Rs 1,500-1,560 per tin on restricted arrivals from the southern region.

In the non-edible section, linseed oil went up by Rs 50 to Rs 4,650 per quintal on increased demand from paint industries.

Castor oil traded higher by Rs 50 to Rs 8,700-8,800 per quintal on industrial offtake.

Rice basmati maintained an upward trend for the third straight week in a row at the wholesale grains market, as stockists increased their positions to meet the ongoing marriage season demand against restricted arrivals.

However, wheat and some other bold grains such as maize and bajra met with resistance on fresh arrivals and declined.

Marketmen said increased buying by stockists and retailers for the ongoing marriage season, amid restricted arrivals helped rice basmati prices to maintain an upward trend.

In the national capital, basmati Pusa-1121 variety remained in demand and advanced Rs 50 to Rs 4,500-5,600 per quintal.

Permal raw, wand sela and IR-8 were also followed suit and added another Rs 25 each to Rs 1,900-1,950, Rs 2,050-2,200, Rs 2,175-2,230 and Rs 1,770-1,795 per quintal.

On the other hand, wheat dara (for mills) shed Rs 5 to Rs 1,340-1,345 per quintal. Atta flour mills and maida lost Rs 20 each to Rs 720-740 and Rs 780-810 per 50 kg.

Maize and bajra also lacked necessary buying support and fell by Rs 50 and Rs 10 to Rs 1,100-1,110 and Rs 830-840 per quintal.

The wholesale sugar market witnessed a firm trend during the past week under review on increased buying by retailers and bulk consumers amid restricted supply by millers, registering gains of nearly Rs 25 per quintal.

Market analysts said pick-up in demand due to the ongoing marriage season and bulk consumers such as softdrink and ice-cream makers mainly pushed up sugar prices.

They said restricted arrivals from millers created tight stocks position and further fuelled the uptrend.

Mill delivery medium and second grade price went up to Rs 2,800-2,950 and Rs 2,685-2,925 against last week’s level of Rs 2,775-2,925 and Rs 2,760-2,900 per quintal, respectively.

Meanwhile, sugar ready medium and second grade prices almost remained quiet throughout the week on some support and settled at Rs 3,000-3,125 and Rs 2,975-3,000 per quintal, respectively.

In the millgate section, sugar kinnoni gained by Rs 20 to Rs 2,920 per quintal and Asmoli quoted higher by a same margins at Rs 20 at Rs 2,900 per quintal.

Sugar Mawana also edged up by Rs 20 to Rs 2,860 per quintal.

Jaggery: Gur prices extended losses for the second straight week in the wholesale jaggery market as the prices fell further up to Rs 50 per quintal following adequate supply of new stocks against slackness in demand.

Marketmen said heavy arrivals of new stocks into the market against slackness in demand mainly kept the gur prices under pressure for the second straight week.

A similar pattern of trading was noticed in Muzzafarnagar and Muradnagar gur markets as new arrivals created adequate positive.

In Delhi, gur chakku and shakkar prices dropped by Rs 50 each to Rs 2,250-2,300 and Rs 2,500-2,550 per quintal against last week’s level of Rs 2,300-2,350 and Rs 2,550-2,600, respectively.

Gur pedi and dhayya prices decreased from Rs 2,300-2,350 and Rs 2,350-2,400 to Rs 2,250-2,300 and Rs 2,300-2,350 per quintal, respectively, revealing a net loss of Rs 50 each.

In Muzzafarnagar market, gur chakku dropped from Rs 2,100-2,250 to Rs 2,050-2,250 per quintal on new arrivals.

However, gur khurpa and raskat traded unchanged on some support at Rs 2,000-2,050 and Rs 1,750-1,850 per quintal, respectively.

In Muradnagar, gur pedi declined from Rs 2,050-2,100 to Rs 2,000-2,050, showing a fall of Rs 50 per quintal, while gur dhayya ruled steady at Rs 2,100-2,125 per quintal in a restricted trade.

Pulses: Mixed conditions developed at the wholesale pulses market during the past week as select prices maintained their upward march on selective buying by stockists, while a few others met with resistance at prevailing higher levels on reduced offtake and closed moderately lower.

Traders said selective buying by stockists and retailers amid slowdown in arrivals mainly pushed up some wholesale pulses prices.

Firming trends in the producing regions also fuelled the uptrend in select prices, they said.

On the other hand, prices of rajma and peas declined marginally on reduced offtake, they added.

Gram prices gained the most by adding Rs 150 to Rs 2,675-2,700 and its dal local and best quality by Rs 100 each to Rs 2,925-2,940 and Rs 3,025-3,125 per quintal.

Arhar and its dal dara variety gained Rs 50 each to Rs 3,900-4,000 and Rs 5,050-5,450 per quintal.

Urad, and its dal chilka local and best quality were also traded higher by Rs 50 each to Rs 4,300-4,850, Rs 5,100-5,500 and Rs 5,550-5,850 per quintal, respectively.

On the other hand, rajma chitra (Pune), (China) and red varieties, which held steady in the major part of the week, met with resistance and shed Rs 50 each to Rs 3,300-3,900, Rs 3,400-3,900 and Rs 3,400-3,500 per quintal, respectively.

Peas white and green also traded lower with a moderate loss of Rs 25 each to Rs 1,975-2,075 and Rs 2,075-2,275 per quintal.

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Published on January 29, 2011
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