Rise in buying support, improved domestic demand and strong foreign cues have put a stop to the downtrend in mustard oil.
Mustard oil prices in mandis across Madhya Pradesh, Rajasthan and Gujarat were up by Rs 15-20 for 10 kg in the past one week.
Mustard oil in Indore mandis on Thursday rose to Rs 832 for 10 kg (up Rs 6).
Similarly in Rajasthan mandis also, mustard oil witnessed a bullish trend with its price in Kota on Thursday being quoted at Rs 840 (up Rs 5) for 10 kg.
In Gujarat mandis also, mustard oil ruled Rs 5 higher at Rs 830.
According to traders here, uptrend is likely to continue in coming days given a rise in demand and decline in arrivals as farmers, anticipating higher returns in the coming days, have retained their stocks, said Vijay Kumar Jain, a Jawad-based trader adding that rise in soya oil prices, bullish foreign cues will also add to the strong sentiment .
Plant deliveries in mustard for Jaipur line also ruled higher at Rs 4,535-50 (up Rs 50) on improved demand from crushers.
Similarly in futures also, mustard seeds traded higher on improved buying support with its September and October contracts on the NCDEX closing at Rs 4,437 (up Rs 37) and Rs 4,502 a quintal (up Rs 42).