Country On Friday, the prices of groundnut oil-oilseeds, imported soybean degum oil and cottonseed oil remained weak in the major markets of India. Amidst this decline, the prices of groundnut oil and oilseeds have started hovering around the prices of seven-eight years ago. Market sources said that the price has been affected due to the market sentiment being affected due to the recent sale of cottonseed (oilseed) at a price lower than the Minimum Support Price (MSP) by a leading organization of the country for the cotton crop. On the other hand, mustard oil-oilseeds improved due to lower arrivals and little winter demand. Also, the price of soybean oilseeds improved due to farmers selling their goods intermittently while waiting for government purchase to avoid selling at weak prices in the spot market.
The prices of CPO and palmolein oil remained at the previous level due to weak demand for soybean Delhi and Indore oil and higher prices. Sources said that the general trading sentiment of the oil-oilseeds market has been affected due to the sale of cottonseed (oilseeds) at a price below the cost of procurement by the Cotton Corporation of India (CCI) at MSP. Due to this, the prices of groundnut oil and oilseeds have started hovering around the level of seven-eight years ago (about Rs 5,800-6,000 a quintal). Sources said that groundnut oil and oilseeds are considered export items and groundnut and cottonseed oil are mostly consumed in Gujarat. Just a few days ago, the price of this oil used to be the highest among imported and indigenous edible oils. But CCI’s sale of cottonseed oilseed derived from cotton, not fixing the purchase price of cotton and selling it at a price much lower than the market price, has affected the overall business sentiment. Due to this reason, groundnut oil has currently fallen below edible oils like palm and palmolein.
Peanut farmers worried
Due to fall in the price of cottonseed meal, the demand for groundnut meal has weakened and its purchases are negligible. Due to this, along with the decline in groundnut oil and oilseeds, groundnut farmers are also worried. The government should pay attention to this situation. He said that till now about 65 lakh bales of cotton have arrived in the mandis, out of which the government has been able to purchase only about 25 lakh bales. Due to the price of cotton being about six to eight percent less than the MSP in the spot market, the remaining cotton has been sold at a weak price. There is a need to pay attention to this. There is a slight decline in the Malaysia Exchange, while there is a slight improvement in the Chicago Exchange. Sources said that due to low arrivals and modest winter demand, there was improvement in the prices of mustard oil and oilseeds. Whereas the price of soybean in the spot market was much lower than the MSP, the price of soybean oilseeds improved due to farmers intermittently bringing their crop to the market in the hope of government procurement. He said that due to shortage of funds, soybean degum oil prices fell due to compulsion to sell at a lower price than the import price. At the same time, the prices of soybean Delhi and Indore oil remained the same. Due to fall in the price of cottonseed seed, the price of cottonseed oil is also falling. Sources said that due to weak demand at higher prices, the prices of palm and palmolein closed at the previous level. Amid the decline in cottonseed cake, the demand for groundnut cake and mustard cake has also weakened, but its effect is not visible on the price of milk, the price of which continues to rise. It is generally believed that the price of milk should also come down as animal feed becomes cheaper due to falling price of flour.
The prices of oil and oilseeds were as follows:
- Mustard oilseeds – Rs 6,475-6,525 per quintal.
- Groundnut – Rs 5,975-6,300 per quintal.
- Groundnut Oil Mill Delivery (Gujarat) – Rs 14,450 per quintal.
- Groundnut refined oil – Rs 2,190-2,490 per tin.
- Mustard oil Dadri- Rs 13,500 per quintal.
- Mustard Pakki Ghani – Rs 2,255-2,355 per tin.
- Mustard Kachchi Ghani – Rs 2,255-2,380 per tin.
- Sesame Oil Mill Delivery – Rs 18,900-21,000 per quintal.
- Soybean oil mill delivery Delhi – Rs 13,350 per quintal.
- Soybean Mill Delivery Indore – Rs 13,200 per quintal.
- Soybean oil Degum, Kandla – Rs 9,400 per quintal.
- CPO Ex-Kandla- Rs 13,100 per quintal.\
- Cottonseed Mill Delivery (Haryana) – Rs 12,100 per quintal.
- Palmolein RBD, Delhi – Rs 14,300 per quintal.
- Palmolein ex- Kandla – Rs 13,250 (without GST) per quintal.
- Soybean grain – Rs 4,200-4,250 per quintal.
- Soybean loose – Rs 3,900-4,010 per quintal.
- Maize cake (Sariska) – Rs 4,100 per quintal.
(With inputs from PTI/Language)
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