Select edible oils remain weak on low demand

Prices of select edible oil continued to slide for yet another week at the wholesale oils and oilseeds market owing to easing demand from vanaspati millers as well as retailers against ample stock position following increased supplies from producing belts.

Castor and linseed oils in the non-edible section, also eased on reduced offtake by consuming industries.

Traders said, besides a fall in demand from vanaspati millers and retailers, adequate stock position on increased supplies from producing belts and a weak trend overseas, mainly kept pressure on select edible oil prices.

Globally, the benchmark palm oil contract for July delivery settled lower at 2,389 ringgit (USD 610.22) a tonne on the Bursa Malaysia Derivatives Exchange.

In the national capital, mustard expeller (Dadri) and groundnut mill delivery (Gujarat) oils fell by Rs 100 each to Rs 7,700 and Rs 8,500 per quintal, respectively.

Tracking a weak trend overseas, palmolein (RBD) and palmolein (Kandla) oils also shed Rs 50 each to Rs 7,100 and Rs 7,150 per quintal, respectively.

Soyabean refined mill delivery (Indore) and soyabean degum (Kandla) oils followed suit and finished lower by a similar margin to Rs 7,650 and Rs 7,250 per quintal, respectively.

In the non-edible section, castor oil dropped by Rs 100 to Rs 7,200-7,300 per quintal on reduced industrial offtake.

Linseed oil slipped by Rs 100 to Rs 8,900 per quintal due to subdued demand from paint industries.