Edible oils recover on millers buying, global cues

Edible oil prices recovered on the wholesale oils and oilseeds market during the past week on fresh buying by vanaspati millers and retailers, supported by the ongoing marriage season amid a firming global trend. 

A few oils in the non-edible section, also saw good demand on the back of increased offtake by industrial units and other consuming industries.

Trading sentiments in edible oils turned better as palm oil climbed to the highest level in more than a week in global markets after crude advanced, raising the appeal of vegetable oils as a biofuel feedstock.  

Meanwhile, palm oil added 1.4% to $1,027 a tonne on the Malaysia Derivatives Exchange, the highest closing level since June 29. Besides, pick-up in retailers demand in view of the ongoing marriage season further supported the uptrend in edible oil prices.

In the national capital, groundnut mill delivery oil gained the most by rising Rs 200 to Rs 8,400 per quintal, while groundnut solvent refined moved up by Rs 25 to Rs 1,425-1,435 per tin.  

Mustard expeller oil (Dadri) rose by Rs 20 to Rs 5,700. Sesame and cottonseed mill delivery oils traded higher by the same margin to Rs 6,170 and Rs 5,460 per quintal, respectively.

Taking cues from overseas market, palmolein (rbd) and palmolein degum (Kandla) oils jumped up by Rs 100 each to Rs 5,750 and Rs 5,450 per quintal, respectively. 

Crude palm oil (ex-kandla) oil moved up by Rs 50, while soyabean refined mill delivery (Indore) and soyabean degum (kandla) traded higher by Rs 50 each to Rs 6,200 and Rs 5,800 per quintal, respectively.

In the non-edible section, linseed oil found scattered buying support from paint's industries and went up by Rs 50 to Rs 4,600 per quintal. Neem oil also traded higher by the same margin to Rs 4,100-4,200 per quintal.

Grains: Weak conditions prevailed in the wholesale grains market during the past week as prices of wheat and other commodities declined owing to sluggish demand against sufficient supplies.

However, rice basmati found buying support at the fag-end and showed some strength.

Traders said sufficient stocks availability following record procurement of wheat by the government against sluggish demand mainly led to the fall in grains prices.

In the national capital, wheat dara (for mills) declined by Rs 5 to Rs 1,190-1,195 per quintal. Atta chakki delivery followed suit and traded lower by the same margin to Rs 1,195-1,200 per 90 kg.

In the rice section, non-basmati permral raw, wand, sela and IR-8 were down by Rs 25 each to Rs 1,775-1,825, Rs 1,950-2,050, Rs 2,050-2,100 and Rs 1,650-1,700 per quintal, respectively.

However, rice basmati common and Pusa-1121 variety rose by Rs 100 each to Rs 5,300-5,400 and Rs 4,150-4,850 per quintal, respectively. Bajra declined by Rs 30, while barley shed Rs 20 to Rs 1,030-1,040 and Rs 1,170-1,195 per quintal, respectively.

Jowar yellow and white also moved down by Rs 25 each to Rs 975-1,045 and Rs 1,775-1,850 per quintal, respectively.

Pulses: Prices of select pulses firmed in the national capital during the week on emergence of buying by stockists, driven by pick-up in retailers demand. However, masoor and its dal showed weakness on lack of buying support amid adequate stocks position.  

Traders said increased buying by stockists, driven by pick-up in retailers demand amid less arrivals, mainly led to the rise in select wholesale pulses prices.

In the national capital, rajmah chitra Pune, China and red varieties rose by Rs 100 each to Rs 4,000-4,400, Rs 4,100-4,300 and Rs 4,300-4,400 per quintal, respectively. 

Kabli gram small moved up by Rs 50 to Rs 5,450-6,950 and peas white and green edged up Rs 25 each to Rs 2,225-2,325 and Rs 2,375-2,575 per quintal, respectively.

Gram and its dal local and best quality were enquired higher by Rs 25 each to Rs 2,625-2,650, Rs 3,125-3,140 and Rs 3,250-3,375 per quintal, respectively.

Moong added Rs 50 and its dal chilka local gained Rs 100 on fag-end buying to Rs 3,980-4,980 and Rs 5,000-5,400 per quintal. Moong dal dhoya local and best quality traded higher by Rs 100 each to Rs 5,300-5,500 and Rs 5,900-6,100 per quintal, respectively. 

On the other hand, masoor small and bold lacked necessary follow up support and shed Rs 50 each to Rs 2,700-2,900 and Rs 2,850-3,100 per quintal. Its dal local and best quality lost Rs 50 each to Rs 3,200-3,300 and Rs 3,500-3,800 per quintal, respectively.