Soybean up in Indore on firm demand from crushers

Prices of soybean in Indore, the benchmark market, rose due to firm demand from crushers.

In Indore, good quality soybean was quoted at 3,800 rupees per 100 kg, up nearly 100 rupees from Friday despite a sharp rise in arrivals. Supply in Indore was pegged at around 7,000 bags (1 bag = 100 kg), up 3,000 bags.

Arrivals of the fresh soybean crop with low moisture content are likely to hit markets in a week. The current arrivals carry higher moisture.

Futures markets are closed today due to Assembly polls in Maharashtra.

Soybeans futures was up 3/4 to 1 1/2 cents in the front months at the close. The market was initially up a dime on rumors that China had issued tariff waivers for another 10 MMT of soybeans.

This would allow private firms to buy US beans if the FOB prices are low enough in the US to be competitive with South America. Some were reported to be seeking offers on Tuesday.

Soybean meal closed lower by 80 cents/ton, and soy oil finished 37 points higher. The National Soybean Price Index is at $8.67 1/2, a $1.07 3/4 jump over last year.

Basis, according to cmdtyView was at -$0.67 1/2, 31 cents stronger than the same data in 2018. The USDA crop progress report showed soybean harvest progress at 46% after a week of better weather.

The 5 year average pace is 64% done by now. The Dakotas are notably behind schedule. The last soybean crop condition ratings of the season were 54% gd/ex, with the Brugler500 index at 345, both unch from last week.

ND most notably deteriorated another 12 points. Egypt is tendering for 30,000 MT of soy oil, tender closes 10/23 per Reuters.