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.
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.
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.
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.
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).
Prices of mustard seed rose in Jaipur due to strong demand from oil millers and crushers. In Jaipur, the benchmark market, the oilseed was sold at 4,240-4,260 rupees per 100 kg, up 10-20 rupees. Arrivals in Rajasthan remained unchanged at 60,000 bags (1 bag = 85 kg). Strong demand for mustard oil in the ongoing monsoon season supported prices along with expectation of a rise in demand for mustard meal.
Prices of mustard seed rose in Jaipur due to improved demand from oil millers and crushers amid a fall in arrivals. In Jaipur, the benchmark market, prices of the oilseed rose by 20-25 rupees to 4,230-4,250 rupees per 100 kg. Arrivals of mustard seed in Rajasthan fell by 5,000 bags (1 bag = 85 kg) to 60,000 bags. Strong demand for mustard oil in the ongoing monsoon season also supported prices of the seed.
Prices of mustard seed rose in Jaipur due to strong demand for mustard oil in the ongoing monsoon season. In Jaipur, the benchmark market, prices of the oilseed rose 10-15 rupees to 4,210-4,225 rupees per 100 kg. Prices of mustard oil were up at 854 rupees per 10 kg, compared with 780 rupees on previous close. However, a rise in arrivals was insufficient to meet the demand from domestic stockists and oil millers, which supported prices.
Mustard production in the country is seen at 6.6 mln tn in 2017-18 (Jul-Jun), marginally lower than 6.7 mln tn harvested in the previous year. The mustard basket also includes crops of taramira and toria.A fall in area in 2017-18 can be attributed as the main reason for a smaller crop. Acreage under mustard in the country was at 6.7 mln ha against 7.1 ml ha in 2016-17. The farm ministry has estimated 8.0 mln tn against 7.9 mln tn in 2016-17. New crop arrivals begin in February, and gain momentum by March. Arrivals remain in full swing till May and start dwindling from June. Currently, the entire crop has been harvested and total carryover stocks for 2018-19 are pegged at 500,000 tn.
Mustard seed prices looked up by Rs 9 to Rs 4,073 per quintal in futures trade as traders created fresh positions in sync with higher physical markets sentiment. Pick up in demand from oil mills amid halt in arrivals from growing belts in the spot markets, encouraged traders to build up exposure, which reflected the upturn in mustard seed futures prices. At the National Commodity and Derivatives Exchange, mustard seed delivery for July went up by Rs 9, or 0.22 per cent, to Rs 4,073 per quintal.
The most-active July contract of castor seed on NCDEX hit a six-week high of 4,033 rupees per 100 kg, tracking gains in Jaipur. On NCDEX, the July contract was at 4,021 rupees per 100 kg, up 1%. Mustard seed prices rose in Jaipur, the benchmark market, due to a fall in arrivals and a rise in demand from domestic oil millers and crushers. In Jaipur, prices of the oilseed rose 15-20 rupees to 4,120-4,150 rupees per 100 kg. Arrivals of mustard seed in Rajasthan fell 25,000 bags (1 bag = 85 kg) to 100,000 bags.
Mustard seed prices rose in Jaipur due to a fall in arrivals and a rise in demand from domestic oil millers and crushers. Ongoing monsoon season has lifted demand for mustard oil, supporting prices of the oilseed. Sluggish demand for mustard meal from overseas buyers, however, capped gains in prices.
Futures contracts of mustard seed rose on NCDEX, tracking gains in the benchmark Jaipur market where prices were up due to fresh demand from domestic oil millers and crushers after the recent fall in prices. On NCDEX, the most active July contract was at 3,972 rupees per 100 kg, up 0.86%. A decline in stocks of the oilseed at the exchange-accredited warehouses also supported the contracts.
Prices of mustard seed rose in Jaipur, Rajasthan, due to a sharp fall in arrivals amid renewed demand from domestic stockists after a recent fall in prices. In benchmark market Jaipur, prices rose by 10-15 rupees to 4,090-4,100 rupees per 100 kg. Arrivals of mustard seed in Jaipur were estimated at 75,000 bags (1 bag = 85 kg), down 25,000 bags. Expectation of a rise in demand of mustard oil in the monsoon season also supported prices of mustard seed. However, tepid demand for mustard meal from overseas buyers capped the rise in prices.
Futures contracts of mustard seed were up on the NCDEX, taking cues from Jaipur, Rajasthan, where prices rose due to a fall in arrivals amid fresh demand from domestic oil millers and crushers. On the NCDEX, the most active July contract was at 3,934 rupees per 100 kg, up 0.3%. In Jaipur, the benchmark market, prices rose by 10-15 rupees to 4,090-4,100 rupees per 100 kg.
In July-April 2017/18 2090.6 KMT was supplied to foreign markets that is much more than in the last three seasons but 20.5% below the 2630 KMT export record set in MY 2008/09. Rapeseed export shipments dropped to 7.4 KMT in April 2017/18 from 11 KMT in the previous month and 50.5 KMT in April 2016/17. The EU continued stepping up imports of Ukrainian rapeseed, absorbing 82% of their total.
Prices of mustard rose in Jaipur, Rajasthan, due to limited supply of the oilseed and a rise in demand from domestic stockists and oil millers. In Jaipur, the benchmark market for the oilseed, prices rose by 5-10 rupees to 4,095-4,105 rupees per 100 kg. Arrivals of mustard in Jaipur were unchanged at 100,000 bags (1 bag = 85 kg). Expectations of a rise in demand during the monsoon also supported prices.
Mustard procurement in Madhya Pradesh has come to an end with the state government having bought a total of 119,291 tn of the oilseed at minimum support price under the Krishak Samruddhi Yojana. In Madhya Pradesh, around 1.6 mln farmers are registered under the Krishak Samruddhi Yojana scheme which allows them to sell their produce at minimum support prices and avail incentives. This year, the state government is giving an incentive of 100 rupees per 100 kg on mustard procurement. For 2017-18 (Jul-Jun), mustard output in Madhya Pradesh is estimated at 5.3 mln tn, up from 4.5 mln tn harvested last year
Harvesting of winter rapeseed has started in the southern regions of the country (Zaporizhia, Odesa, Kherson). Risoil Group has begun receiving rapeseed at its elevator in Rozdilna (Odesa region). The company reports a high oil content in the first rapeseed arrivals: roughly 48%, or more than 50.5% in dry matter terms. This is a high value for the central part of Odesa region early in a season. As of June 18, 2018, farmers had harvested 6 KMT of winter rapeseed from 3 Th ha (out of this season’s projected harvest area of 983 Th ha) with an average yield of 1.74 MT/ha.
Prices of mustard were up in Jaipur, Rajasthan, because demand for the seed has increased from the meal and oil producers. Mustard in Jaipur, the benchmark market for the oilseed, was up 25 rupees at 4,075-4,080 rupees per 100 kg. The arrivals of mustard in Rajasthan were unchanged at 90,000 tn. Lower imports of edible oil in May are likely to increase the demand for the oilseed in the local market which is seen supporting the sentiment. The import of edible oil in May was down 8.9% on month at 1.37 mln tn. The most active July contract of mustard on the NCDEX was up.