Indian soyabean futures hit a contract high on Friday due to a rise in overseas prices and thin supplies as farmers delayed sales expecting further rise in prices. Soyaoil rose on good demand and a rise in overseas palm oil prices while rapeseed edged higher following gains in other oilseeds.
At 0819 GMT, the benchmark Malaysian palm oil contract was up 0.3 percent at 2,316 ringgit per tonne while US soyabeans rose 0.09 percent to $14.24-1/2 per bushel. "Dwindling supplies are supporting soyabean prices. But it would be difficult for the prices to sustain at higher level as soyameal exports demand is weak," said Prerna Sharma, an analyst at Emkay Commotrade Ltd.
"Wedding season demand is giving support to soyaoil." The key May soyabean contract on India's National Commodity and Derivatives Exchange was up 1.73 percent at 4,143 rupees per 100 kg, after rising to 4,150 rupees earlier. India meets more than half of its edible oil requirement through imports, which largely constitute palm oil. The key May soyaoil contract was up 0.81 percent at 722.70 rupees per 10 kg while the rapeseed contract for May edged up 0.83 percent to 3,503 rupees per 100 kg.
At the Indore spot market in Madhya Pradesh, soyaoil edged up 6 rupees to 738.20 rupees per 10 kg while soyabeans rose 78 rupees to 4,159 rupees per 100 kg. At Jaipur in Rajasthan, rapeseed edged up 7 rupees to 3,487 rupees. Rapeseed supplies are rising from the new season crop. Output of rapeseed is estimated to have risen about 22 percent on year to 7.15 million tonnes in 2012-13, a trade body said.
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