Weak global cues and slack demand in the physical market after expiry of the near-month contracts on the National Commodities and Derivatives Exchange pulled down soyabean prices in Indore mandis in the last one week by Rs 100 a quintal.
On Monday, soyabean in Indore mandis ruled at Rs 3,750-3,850 a quintal amid arrival of 40,000 bags in Madhya Pradesh. Added to the contracts expiry on the NCDEX, slack buying support in soya futures lent strength to bearish sentiment. Two weeks ago, soyabean prices had increased to Rs 4,100 a quintal on strong buying support for soyameal in the domestic market.
Soyabean May and June contracts on the NCDEX closed lower at Rs 3,855 and Rs 3,741.50 a quintal, respectively. Soyabean plant deliveries have dropped to Rs 3,850-3,925.
Compared to soyabean, soya oil prices are either ruling firm or have gained marginally despite weak global cues and slack physical demand.
On Monday, soya refined ruled firm at Rs 685-90, while soya solvent ruled at Rs 660-662 for 10 kg. In the futures market, however, soya oil traded lower on weak buying and May and June contracts on the NCDEX closed lower at Rs 701.40 (down Rs 4.25) and Rs 778.80 (down Rs 6.50).
Dip in demand for soyameal in the domestic market dragged its prices by about Rs 1,000 a quintal in the domestic market in the past one week. On Monday, soyameal was quoted at Rs 34,400-34,500 a quintal.