Edible oils weaken on sluggish demand,global cues

Sentiment in edible oils turned bearish as palm oil posted a second weekly loss in global markets after speculations that prices may tumble as a slowdown in China and Europe curbs demand for the tropical oil in food and fuel.

Palm oil,which had touched a seven-month low,lost 1.1 per cent at USD 934 a metric tonne this week on the Malaysian Derivatives Exchange.

In the national capital,mustard expeller oil (Dadri) oil declined by Rs 50 to Rs 7,870 per quintal,while mustard pakki and kachi ghani oils traded lower by Rs 10 each to Rs 1,155-1,295 and Rs 1,310-1,410 per tin,respectively.

Cottonseed mill delivery (Haryana) oil followed suit and traded lower by Rs 50 to Rs 6,350 per quintal.

Groundnut and sesame mill delivery oils after moving both ways on alternate bouts of buying and selling and settled around previous levels of Rs 11,450 and Rs 8,100 per quintal.

Taking weak cues from overseas markets,soyabean refined mill delivery (Indore) and soyabean degum (Kandla) oils fell by Rs 50 each to Rs 7,700 and Rs 7,250,while crude palm oil (ex-kandla) traded lower by similar margin to Rs 7,350 per quintal,respectively.

Palmolein (RBD) and palmolein (Kandla) oils also weakened by Rs 50 each to Rs 7,900 and Rs 7,550 per quintal.

In the non-edible section,castor oil moved down by Rs 100 to Rs 8,300-8,400 per quintal on reduced industrial offtake.

Neem oil also shed Rs 100 to Rs 4300-4400 per quintal on lack of demand from soap industries.

Grains: Bearish conditions persisted in the wholesale grains market during the week under review as rice basmati and other bold grains ended lower on adequate supplies against reduced offtake by stockists.

Traders said adequate stocks position following increased arrivals against reduced offtake by stockists mainly led to a fall in rice basmati and other bold grain prices.

Expectations of higher output this year also kept pressure on rice basmati and other bold grain prices.

Meanwhile,helped by record production,wheat procurement in the country has grown to a record 35 million tonne so far in the current marketing season.

In the national capital,rice basmati common and Pusa-1121 drifted to Rs 5,800-5,900 and Rs 4,900-5,800 against last week’s close of Rs 6,100-6,200 and Rs 5,200-6,100 per quintal,respectively.

Wheat dara (for mills) after moving between and losses and settled around previous level of Rs 1,210-1,215.

Other bold grains like,bajra,maize and barley were ended lower at Rs 1,000-1,005,Rs 1,050-1,060 and Rs 1,290-1,300 as compared to previous close of Rs 1,015-1,020,Rs 1,070-1,080 and Rs 1,320-1,330 per quintal respectively on adequate supplies.

PULSES: Prices of select pulses led by gram and moong traded lower on the wholesale market during the past week on fall in demand at prevailing higher levels against adequate supplies from producing belts.

However,rajmah chitra and lobia found selective buying support from retailers and ended higher.

Traders said adequate stocks availability in the market against subdued demand at prevailing higher levels mainly put pressure on select wholesale pulses.

In the national capital,gram,gramdal local and best quality were down by Rs 100 each to Rs 4100-4850,Rs 4700-4800 and Rs 4750-4850 per quintal,respectively.

Moong and its dal chilka local followed suit and traded lower by Rs 100 each to Rs 3500-4500 and Rs 4250-4650 and moong dal dhoya local and best quality were enquired lower by the same margin to Rs 4800-4900 and Rs 5500-5600 per quintal.

Masoor small and bold shed Rs 50 each to Rs 3450-3750 and Rs 3600-3850,while its dal local and best quality ended lower by similar margin to Rs 4425-4500 and Rs 4500-4600 per quintal,respectively. Kabli gram small variety too traded in negative zone with a loss of Rs 100 to Rs 4550-8050 per quintal.

On the other hand,rajmah chitra and lobia rose by Rs 100 to Rs 7300-8600 and Rs 4700-5300 per quintal,respectively on retailers demand.

SUGAR: The wholesale sugar prices ended on a weak note in the national capital during the past week under review following rising stocks positions against restricted supply from mills and lost around 150 per quintal.

Marketmen said reports of a bumper production of sugar cane put weight on prices.

They said the demand was higher for the ongoing summer session,but easy availability of stocks,somehow capped the losses.

Sugar ready M-30 and S-30 prices commenced the week quiet at Rs.3175-3425 and Rs.3150-3400 on some support after that prices comes under regular supply pressure and closed lower at Rs.3060-3260 and Rs.3040-3240 per quintal.

Mill delivery M-30 and S-30 also dipped from last week’s close of Rs.2975-3200 and Rs.2950-3175 to Rs.2925-3145 and Rs.2900-3125,showing a net fall of Rs.65 per quintal.

Among millgate excluding duty section,sugar asmoli dropped by Rs.80 to Rs.3070 per quintal,Bulandshar slided Rs.75 at Rs.2925 per quintal.

Kinnoni fell by Rs.50 at Rs.3150 per quintal and budhana quoted lower by Rs.65 at Rs.2985 per quintal.

JAGGERY: Dull condition developed in the wholesale gur Jaggery market during the past week under review as prices continued to be asked at last week’s levels in the absence of any worthwhile moving factors.

On the other hand,gur pedi prices in Muradnagar remained in keen demand and rose by Rs.50 on paucity of stocks.

Marketmen said fall in production due to adversed weather conditions mainly pushed up gur pedi prices in Muradnagar mandi.

In Delhi,gur pedi and dhayya prices begain the week flat at Rs.3250-3350 and Rs.3300-3350 per quintal on some support and maintained this levels till closing of the week.

Similar trading persisted in gur chakku and shakkar,prices remaiend unmoved throughout the week at Rs.3200-3300 and Rs.3350-3450 per quintal.

At Muradnagar,gur pedi prices found fresh support at Rs.2950-3000 as compared to previous week’s close of Rs.2925-2950 per quintal due to reduced arrivals.

However,gur dhayya prices asked at previous levels of Rs.3000-3050 on little doings.

In Muzaffarnagar,there was no change in trading patter and ended unchanged at levels in thin trade.

Gur chakku prices quoted flat at Rs.2700-2850 per quintal

gur raskat prices also remained unmoved whole week on some support from beer making industries at Rs.2700-2750 per quintal.