The June soybean contract on NCDEX hit a near five-month low of 3,603 rupees per 100 kg due to a rise in India’s soybean output estimate for 2018-19 (Jul-Jun).
The government, in its third advance crop output estimates, marginally raised its estimate for soybean production to 13.74 mln tn in 2018-19 from the previous estimate of 13.69 mln tn. At 13.74 mln tn, the output estimate will be a sharp 25.7% higher on year.
In key spot markets, too, soybean prices fell as crushing units and stockists limited their purchases. In Indore, the oilseed was sold at 3,870 rupees per 100 kg, down 15-20 rupees.
Soybean futures closed the day with most contract 10 to 13 cents removed from their highs, but still 2 to 4 cents higher.
July soy meal was up 50 cents/ton, with soybean oil 15 points higher.
NASS reported that IA was just 41% planted, with MN 51%, NE 64% and SD at 14%.
In the ECB, IL had just 21% seeded, with IN at 17%.
Brazil Trade Ministry data showed 10.526 MMT of soybean shipments in May, up 4.5% mo/mo but down 14.8% yr/yr.