The prices of soybean in Indore, were up 25-50 rupees at 3,650-3,700 rupees per 100 kg as arrivals were very low due to the incessant rains in Madhya Pradesh.
Soybean arrivals have been negligible for the last couple of days as farmers were unable to reach the market due to the rains.
Demand for soybean was firm as there are concerns of damage to the standing soybean crop.
The rains can also delay the harvest and arrivals of the new crop. The October soybean contract on NCDEX was up 1.1% at 3,731 rupees per 100 kg.
Soybeans futures posted 27 to 29 cent gains in the nearby contracts on Thursday. Rumors show that Chinese importers purchased ~600,000 MT of US soybeans from the PNW this morning.
This comes after rumors also showed President Trump was considering an interim deal with China to delay tariffs, though no official announcements have come out. PNW basis has firmed. Soybean meal was up $6.50/ton, with soy oil up 29 points.
This morning USDA showed a 0.6 bpa reduction to soybean yield at 47.9 bpa, with production down 47 mbu to 3.633 bbu as acreage was unch. Old crop carryout was down a sharp 65 mbu to 1.005 bbu on increased demand from crush and exports. New crop stocks were down 115 mbu from August to 640 mbu. Thanks to reductions from the US, old crop world ending stocks were down 2.12 MMT to 114.53 MMT, with new crop 2.55 lower at 99.19 MMT. The Weekly Export Sales report showed 1.172 MMT in 19/20 US export bookings for the week of September 6. A total of 1.934 MMT in unshipped sales were carried over from 18/19. Weekly Meal export sales totaled a pedestrian 119,118 MT, with soy oil at 10,887 MT.