Edible oils remain weak on reduced offtake, global cues

Weak conditions continued to prevail on the wholesale oils and oilseeds market today with select edible oil prices fell further up to Rs 100 per quintal due to reduced offtake by stockists and vanaspati millers at prevailing levels amid weakening global trend.

Neem oil in the non-edible section, also eased due to reduced offtake by industrial units and other consuming industries. 

Sentiments remained bearish as palm oil declined to the lowest level in six weeks in global market on speculation that inventories in Malaysia, the second-largest grower, may expand from the highest level in 16 months as production accelerates. 

Meanwhile, palm oil for the September contract declined 0.3% to $1,045 a tonne on the Malaysia Derivatives Exchange, the lowest level since May 6.

Besides, reduced offtake by stockists and vanaspati millers at prevailing levels further dampened trading sentiments to some extent. In the national capital, groundnut mill delivery (Gujarat) oil fell by Rs 100 to Rs 8,000 per quintal, while groundnut solvent refined shed Rs 25 to Rs 1400-1410 per tin on lower Gujarat advices.

Mustard expeller oil (Dadri) declined by Rs 50 to Rs 5,750 per quintal and its pakki and kachi ghani oils traded lower by Rs 5 each to Rs 755-910 and Rs 910-1,010 per tin, respectively.  

Sesame mill delivery and cottonseed mill delivery (Haryana) oils also moved down by Rs 30 each to Rs 6,200 and Rs 5,500 per quintal, respectively.

Palmolein (rbd) and palmolein (Kandla) oils fell by Rs 50 each to Rs 5,700 and Rs 5,400 and crude palm oil (ex-kandla) lost Rs 30 to Rs 5,200 per quintal, respectively.

Soyabean refined mill delivery (Indore) and soyabean degum (Kandla) oils traded lower by Rs 30 each to Rs 6,220 and Rs 5,820 per quintal, respectively.

In the non-edible section, neem oil declined by Rs 50 to Rs 4,100-4,200 per quintal on reduced offtake by soap industries.

Following are today's quotations per quintal:

Oilseeds: mustard seed 2,525-2,655 and groundnut seed 2,100-2,850
Vanaspati ghee (15 litres tin) 1,065-1,140

Edible oils: Groundnut mill delivery (Gujarat) 8,000, groundnut Solvent refined (per tin) 1,400-1,410, Mustard Expeller (Dadri) 5,750, Mustard Pakki ghani (per tin) 755-910, Mustard kachi ghani (per tin) 910-1,010

Sunflower 6,300, Sesame mill delivery 6,200, soybean Refined mill delivery (Indore) 6,220, Soyabean degum (Kandla) 5,820, Crude Palm Oil (Ex-kandla) 5,200, Cottonseed mill delivery (Haryana) 5,500, Palmolein (RBD) Rs 5,700 Palmolein (Kandla) 5,400, Rice bran (phy) 3,750 and Coconut (per tin) 1,600-1,660

Non-edible oils: Linseed 4,500, Mahuwa 4,000, Castor 8,500-8,600, Neem 4,100-4,200, Rice bran 3,300-3,400 and palm fatty 3,225-3,300

Oilcakes: groundnut dehusk 800-850, sesame 950-1,150, Mustard (new) 1,000-1,025, Mustard 1,200-1,210 and Cottonseed 1,075-1,175