Prices of imported Palmolein and soya refined oils declined by Rs 3 and Rs 4 respectively on Monday despite higher closing in Malaysian market as a three-day palm oil conference began today.
Cotton refined oil declined by Rs 2 for 10 kg. Groundnut, sunflower and rapeseed oil ruled steady. Market sentiment was weak due to the less-than-expected retail demand.
Market sources said Indore NBOT soya oil futures closed lower on speculative selling. It affected the spot market sentiment with lower volume.
Volume was limited and need based. One refinery bought back 350-400 tonnes of palmolein for Rs 583-Rs 584. There was resale of 80-100 tonnes in the range of Rs 582-Rs 583.
There was no demand for other edible oils. Selling pressure from producing centres kept volume almost zero for groundnut oil, cotton, rapeseed, and soya refined oils.
Sentiments were weak. Malaysia's BMD CPO futures closed higher by 31, 41 and 35 ringgits a tonne. Most of the stockiest have covered their current months requirement of palmolein in February between Rs 615 and Rs 625; and the present market rates is far below that, this keeping fresh demand and?volume arrested. This forces needy buyers to settle the contract with sellers, a source said.
At Liberty market, palmolein was quoted at Rs 587. Ruchi's rates for Palmolein was Rs 589, soya refined oil was Rs 625 and sunflower oil was Rs 701. Allana's rate of palmolein was Rs 600. Dhulia line producers were quoting cotton refined oil at Rs 610. In Rajkot market, groundnut oil ruled steady at Rs 1,155 (Rs 1,155) for Telia tin and Rs 755 (Rs 755) for loose 10 kg.
BMD CPO futures closed higher, buoyed by higher crude oil but India's Indore NBOT soya oil futures failed to track the foreign market.
Malaysia's BMD CPO futures March -11 closed at ringgit 3,740 (3,709), April-11 was at ringgit 3,730 (3,689), May-11 at ringgit 3,695 (3,660) a tonne. Indore NBOT soya oil March-11 futures was at Rs 630.40 (Rs 634.10) and April-11 was at Rs 642.00 (Rs 645.1).
Mumbai commodity exchange spot rate (price for 10 kg): Groundnut oil 750 (750), soya refined oil 618 (622), sunflower exp. refined 655 (655), sunflower refined 705 (710), rapeseed refined oil 636 (636), rapeseed expeller refined 606 (606), cotton refined oil 611 (613) and palmolein was 586 (589).