Edible oils firm on poor buying

Edible oil ruled unchanged on Monday despite a sharp decline in Malaysian market. Most market players kept away from buying tracking budgetary changes. Spot cotton oil price rose by Rs 2 and rape seed oil gained Rs 10. Other oils such as soya oil, palmolein and groundnut oil ruled unchanged.

A leading broker said, despite the weak foreign markets no impact was seen in the local spot market on expectation that fresh retail demand may pick up for new months But speculators on the Indore NBOT indulged in short-selling of soyabean oil futures and this cooled down the sentiments.

Most stockists were busy in taking the deliveries of outstanding stocks and were not ready for fresh buying. About 70/80 tonnes of palmolein was resale-traded at Rs 577-578.

At Rajkot market, groundnut oil rose Rs 10 to Rs 1,175 (Rs 1,165) for Telia tin and Rs 5 higher at Rs 760 (Rs 755) for “loose” 10 kg.

Malaysia's crude palm March contracts closed at MYR 3,550 (3,565) and April at 3,509 (3539) MYR. Mumbai commodity exchange spot rate (Rs/10kg):Groundnut oil 750 (750), soya refined oil 608 (608), sunflower exp. ref. 655 (650), sunflower ref. 710 (710), rapeseed ref. oil 646 (636), rapeseed expeller ref. 616 (606), cotton ref. oil 610 (608) and palmolein was 577 (577).