Mustard seed prices fell in Jaipur

Mustard seed prices fell in Jaipur as demand from crushing plants was weak on expectation of further fall in prices with the start of rabi crop arrivals later this month. Demand was weak also following a cut in palm oil import duty. Fall in palm oil prices will push down prices of other edible oils because palm oil is used to blend with other edible oils. In Jaipur, the oilseed sold at 4,150-4,155 rupees per 100 kg, down 15-20 rupees. In the year-ago period, prices were at 4,025-4,050 rupees per 100 kg. Arrivals across India were steady at 115,000 bags (1 bag = 85 kg). On the NCDEX, January mustard seed contract was down 0.1% at 3,935 rupees per 100 kg.

Mustard oil mills across the country crushed 550,000 tn of the oilseed in December, up 29.4% on year, compiled by Mustard Oil Producers Association of India. On a month-on-month basis, crushing increased 22.2% from 450,000 tn. Crushing was higher due to improved demand from oil millers and mustard meal exporters. Reports that China has allowed imports of Indian mustard meal also boosted the purchases.