Notwithstanding weak arrival and strong global cues, slack physical demand in soy oil and soy DOC have dragged both soybean and soy oil prices in Indore mandis. Amid arrival of 3.50 lakh bags, soybean prices in mandis across Madhya Pradesh today declined to Rs 3.060-Rs 3,080 a quintal (Rs 3,080-Rs 3,140 last week) on slack demand and buying in soy oil and soy DOC. Compared to last week (4.25 lakh bags), arrival of soybean was recorded on the lower side at 3.50 lakh bags with its arrival in Indore mandis today was recorded at 15,000 bags, Dewas - 18,000, while Ujjain recorded an arrival of 14,000 bags.
Slack demand also dragged soybean prices in the future with its December and January contracts on the NCEDX closing lower at Rs 3,285 (down Rs 17) and Rs 3,333 (down Rs 19) respectively. Plant deliveries of soybean today were also quoted lower at Rs 3,240-60 (Rs 3,250-75) amid slack demand in soy oil.
Amid sluggish domestic and export demand, soy DOC also traded low with its prices on the spot today being quoted at Rs 28,200-500 a quintal, while on the port it ruled at Rs 29,700. According to Soybean Processors Association of India (SOPA) here, there has been a steep decline in soymeal export as compared to last year with export of soy meal till October this year has been recorded at merely 29,690 tons as against 1,94,486 tons of export during October last year.
Downtrend continued in soy oil on sluggish demand with soy refined prices today were being quoted at Rs 580-82, while soy solvent declined to Rs 545-47 for 10 kg. Compared to last week, soy oil is down Rs 10, while in the past fortnight soy oil prices have almost declined by Rs 25-28.