Mustardseed slips in futures trade on better crop hopes

Mustardseed remained under pressure in futures trade today as speculators trimmed positions amid hopes of higher production.
At the National Commodity and Derivative Exchange, mustardseed for delivery in May month contract slided by Rs 33, or 0.84 per cent to Rs 3,904 per quintal, with an open interest of 9,730 lots.
Also, the most-active far-month April month contracts dropped by Rs 19, or 0.49 per cent to Rs 3,866 per quintal, open interest stood of 32,090 lots.
Marketmen attributed fall in prices to expectations that India's mustard production may rise by 10 per cent to 5.5 million tonnes on account of favorable weather conditions in last few days.

The cold weather condition has picked up in the Northern and Central India, which is good for standing mustard crop. Some winter showers have also given a breather to the farmers, as a resultant drop in temperature is seen benefiting the standing crops.