Futures trading in soybean, soy oil and mustard seeds was suspended temporarily in leading agri-commodity exchange NCDEX after prices fell sharply on Tuesday, following the government’s decision to cut import duties on all edible oils. The government has scrapped customs duty on all edible oils in crude form and brought down the duty to 7.5 per cent for refined form. “There was no price movement in soyabean, soy oil and mustard after they hit the lowest daily price limit of 4 per cent in the opening hour of trade,” Karvy Comtrade analyst Veeresh Hiremath said.NCDEX spokesperson Gautam Mukherjee said, “Trade was stopped for 15 minutes in the morning when prices fell sharply by 4 per cent. It resumed later but trading activity remained extremely thin in soyabean, soy oil and mustard seeds as prices continued to remain at lower levels. “ Indore-based trader Mahendra Jain said, “There was no movement in prices after they reached the lowest levels in the morning. Traders are simply not trading”. Prices of soybean slumped by Rs 15 per kilo, a huge fall for a single day. Traders, panicky after the government move, are keeping away from the market. Volumes of soy oil contracts dipped to 1,010 from 57,220. Soyabean slipped to 3,020 from 33,070 while mustard dipped to 19,810 from 77,780.
