Fall in arrivals lift mustard seed prices in Jaipur

Prices of mustard seed in Jaipur rose due to a decline in arrivals and improved demand from oil millers and crushers. In the benchmark market of Jaipur, mustard seed was sold at 4,350-4,375 rupees per 100 kg, up 20-25 rupees. Arrivals of mustard seed in Rajasthan were estimated at 70,000 bags (1 bag = 85 kg) today, down 10,000 bags. Limited sale of mustard seed by government agencies in the local market also led to positive sentiment.

India mustard crushing down 18% on year at 450,000 tn in July.

Mustard oil mills across the country crushed 450,000 tn of the oilseed in July, down 18.2% from a year ago. Crushing was also down 30.8% from 650,000 tn in June. Crushing was lower because mustard arrivals started dwindling in key wholesale markets with start of the lean season.

Source says NAFED to start selling mustard in Rajasthan.

The National Agricultural Cooperative Marketing Federation of India will start selling mustard seed in Rajasthan on Friday, a source close to the development said. The federation had procured the oilseed under the price support scheme in 2017-18 (Jul-Jun). NAFED had procured 873,004.90 tn of the commodity across the country in the rabi season, while its procurement in Rajasthan was at 471,614.16 tn as of Jun 25. With prices of mustard seed 300-400 rupees above the minimum support price of 4,000 rupees per 100 kg in the domestic market, it is beneficial for government agencies to release their stocks.

Rapeseed oil production in Russia at a three-year high.

Russian crushers produced 32.5 KMT of rapeseed oil in May 2018 against 32.2 KMT in April 2018 and 23 KMT in May 2017. Even towards the end of the season, the monthly volumes of rapeseed crushing remain steadily higher than a year ago. Overall, rapeseed oil production increased almost 21% in July-May 2017/18, to 351.2 KMT versus 290.6 KMT in the same period last year. Owing to a heavy rapeseed crop in 2017, this season’s rapeseed oil output is still at a three-year high.

Mustard seed at 18-month high on robust demand for oil.

Prices of mustard seed hit an 18-month high in Jaipur owing to robust demand for mustard oil in the ongoing monsoon season. The seasonal demand for mustard oil rises by 20-25% during the monsoon season, which supports seed prices. In Jaipur, the benchmark market, the oilseed was sold at 4,250-4,270 rupees per 100 kg, up 10-20 rupees. Demand from stockists and crushers and a fall in arrivals also supported prices. Arrivals in Rajasthan were estimated at 55,000 bags (1 bag = 85 kg), down 5,000 bags. On NCDEX, the most-active July contract was at 4,105 rupees per 100 kg, up 13 rupees.

India mustard crushing down 28% on month at 650,000 tn in June.

Mustard oil mills across the country crushed 650,000 tn of the oilseed in June, down 28% from the previous month. The on-month decline in crushing was because arrivals at key wholesale markets started shrinking as the lean season set in. During Mar 1-Jun 30, overall supply of the oilseed was at 4.8 mln tn. Arrivals in Rajasthan, the top producer, were at 1.6 mln tn, in Uttar Pradesh at 655,000 tn, ans Madhya Pradesh and Chhattisgarh at a combined 280,000 tn. Stocks with farmers, processors, and stockists were at 3.8 mln tn, he said. As on Feb 28, mustard carryover stock were estimated at 400,000 tn. Crushing of mustard may fall further in July, as arrivals have started declining.

European rapeseed mixed worries over yields.

EU rapeseed was quoted between unchanged and one euro per tonne up, supported by a firmer dollar, which underpins products quoted in euros, and worries over rapeseed yields due to a recent dry spell. Technical weakness in rapeseed futures limited gains.

Rapeseed yield in Ukraine grew to 2.4 MT/ha.

Winter rapeseed had been harvested from 571.2 Th ha by July 10 (58% of its forecast harvest area of 983 Th ha). The crop amounted to 1370.2 KMT with an average yield of 2.4 MT/ha. As harvest advanced, the yield value went up. So, rapeseed yield as of July 10 was almost 16% higher than a year ago (2.07 MT/ha).