Futures contracts of soybean ended flat on the National Commodity and Derivatives Exchange because of mixed cues emanating from a decline in demand for soymeal and forecast of a smaller crop.
Soybean may consolidate in a range of 3,620-3,700 rupees per 100 kg until there is a clarity on monsoon in growing areas.
Government data showed soybean area was lagging 18% till Friday. Weakness in rainfall in the last few days in Madhya Pradesh and low rainfall in Marathwada and Vidarbha regions of Maharashtra raised fresh concern over the output.
Soymeal exports, which fell 82.5% on year in June, are expected to remain subdued till Indian prices falls to level closer to South American meal. Also, halt in exports to Iran due to sanctions on the latter has been affecting overall exports.
Soybean futures saw 5 to 6 cent losses in the front months. The 6-10 and 8-14 day outlooks shows forecasts of cooler and drier weather on the way.
August soybean meal was down 90 cents/ton, with soy oil 31 points lower. USDA is expected to show 0-400,000 MT of old crop soybean bookings in the week that ended on July 11, with surveyed traders showing a range of 100,000-300,000 MT seen for new crop.
Soybean Meal sales are estimated to be somewhere between 50,000-300,000 MT, with total soy oil sales at 5,000-50,000 MT.