Prices of sugar in the key wholesale markets of Delhi were up due to improved demand as consumption has increased amid wedding season. In Delhi, the sweetener was sold up 5 rupees per 100 kg from previous close. In Mumbai, prices of sugar were unchanged amid thin trade. On the NCDEX, the most-active May contract was up 1.8%.
All-India cotton arrivals down at 52,000 bales Wed.
Arrivals of cotton at major spot markets across the country were at 52,000 bales (1bale=170kg) on Wednesday, down from 52,500 bales on previous close.
NCDEX cotton oilcake ends down on early monsoon view.
Futures contracts of cottonseed oilcake on NCDEX hit a 17-month-low because of expectations of early onset of the southwest monsoon this year. Most-active June contract was down 1.2% from previous close. The southwest monsoon is likely to hit Andaman sea and the Nicobar Islands by Monday, five days ahead of the normal date of May 20. Lower demand from stockists and reports of higher inventories are seen weighing on prices of the commodity, In Akola, a key delivery centre in Maharashtra, cottonseed oilcake was sold down 20-30 rupees from the previous day.
USDA pegs India 2017-18 cotton output at 28 million bales, up 6%.
The US Department of Agriculture has pegged India 2017-18 (Aug-Jul) cotton output at 28.0 million bales (1USbale=480pound), up 6% on year. Following projections of higher output, the department cut its estimate for India cotton imports by 30% to 1.75 million bales for 2017-18. India cotton exports for the next season are seen rising to 4.5 million bales, from an estimated 4.2 million bales this year. Global cotton production in 2017-18 is seen at 113.22 million bales, up from 105.88 million bales estimated for this year. Global production is expected to rise nearly 7%, despite marginally lower average yields, as area rebounds to its highest level in three years Global ending stocks of cotton in 2017-18 are estimated at 87.14 million bales, lower from 89.52 million bales in 2016-17.
Global coffee body sees market well supplied near term on higher crop.
The international coffee market is seen well supplied in the near term as total export from major growing countries during Oct-Mar is estimated to be up 4.8% at 60 million bags (1bag=60kg). Global supply outlook during 2017-18 (Oct-Sep) is seen positive as initial concerns about frost in Brazil and a shortage of rainfall in Vietnam affecting the crop have eased. Rise in exports during Oct-Mar was mainly due to an increase in supplies of Colombian mild Arabica and other mild coffee grades. Colombia exported 10.3% larger volumes in the first six months of coffee year 2016-17. Shipments of Arabica coffees from origins in the Other Milds group are 16.6% higher than in the same period of the previous year. The rise in export shipments have ensured sufficient global stocks, and thereby have weighed on global prices.
NCDEX coriander up on low crop view, bargain buying.
The May and June contracts of coriander on the NCDEX gained because of a likely decline in output in 2016-17 (Oct-Sep). Bargain buying by investors after prices fell to a 43-month low on Monday also supported coriander futures. The most-active June contract on the exchange was up 1.1% from the previous settlement. In the benchmark market of Kota, Rajasthan, the Badami variety and the Eagle variety both steady from previous close. Arrivals in Kota and Ramganj were pegged at 5,000 bags (1bag=40kg) up 200 bags.
Dairy body to buy 900 tonne maize via e-auction Monday.
The National Cooperative Dairy Federation of India buy 900 tonne maize through a reverse electronic auction on Monday. The commodity, used as cattle feed, will be bought on behalf of the Kerala Co-operative Milk Marketing Federation. The National Cooperative Dairy Federation of India, which has nearly 200 dairy cooperatives as members, has developed an online trading platform to purchase feed stock and sell dairy products.
Rabi maize prices fall in Purnea on higher arrivals.
Prices of rabi maize fell in Purnea, the benchmark market, because of higher arrivals. In Purnea, Bihar, maize was quoted down from the previous day. The arrivals were pegged at 150,000-200,000 bags (1bag=100kg) compared with 100,000-150,000 bags on previous close. It is the peak season for maize (rabi) arrivals in Bihar. Prices are likely to fall in the coming days due to abundant supplies. Prices, however, may rise marginally from the current levels because recent rains and thunderstorms are likely to hit the standing crop in Bihar. In Devangere, a wholesale market in Karnataka, prices fell due to sufficient supplies. The coarse grain traded down 10 rupees from the previous close. Arrivals were around 1,200 bags, up 100-200 bags from previous close.
Maize kharif futures plunge by Rs 42/quintal.
New Delhi Maize prices slumped by Rs 42 in futures trading after trimming of holdings by participants, triggered by a weak trend at the physical markets. Cutting down of holding by participants amid a weak trend at the spot markets due to a muted demand led to fall in maize kharif prices at futures trade here. At the National Commodity and Derivative Exchange counter, maize kharif for delivery in May contracts plummeted by Rs 42, or 2.95 per cent, with the business turnover of 870 open lots.
Govt FY18 wheat procurement up 21.5% on year at 27.1 million tonne so far.
The government has procured 27.1 million tonne wheat so far in the 2017-18 (Apr-Mar) marketing year, up 21.5% on year. (still short of its target of 33 million tonne for the current fiscal). Purchases are highest in Punjab where the government has bought 11.49 million tonne, slightly lower than its target of 11.50 million tonne. At 7.33 million tonne, wheat procurement in Haryana is also close to the target of 7.50 million tonne. In Uttar Pradesh, the largest wheat-producing state, 1.51 million tonne has been purchased so far, sharply higher than a year ago but way behind the target of 3 million tonne for this year. Procurement in Madhya Pradesh is also unlikely to reach the target of 8.50 million tonne for the year as arrivals are declining in the state and the government has been so far able to procure to 5.85 million tonne of the grain.
Wheat prices rise in Delhi, unchanged in Indore.
Prices of wheat rose in the markets of Delhi for the second day after it fell on previous close. Following the government forecast of a high production this year. Wheat prices in Delhi were up 5 rupees per 100 kg from previous close. In the markets of Indore, wheat prices were unchanged in thin trade. On NCDEX, the most active June wheat contract ended up 0.06% from the previous close.
USDA pegs India FY18 wheat output at 97 million tonne, up 11.5% on year.
The US Department of Agriculture has pegged India wheat production in 2017-18 (Apr-Mar) at 97.0 million tonne, up 11.5% from 87.0 million tonne estimated for 2016-17. The increase is due to favourable weather, boosting yields in the main wheat producing areas. Imports were likely to remain high in 2017-18 because of cheaper availability of the grain in global markets. In 2017-18, global wheat production is likely to fall by 2% to 737.83 million tonne due to lower output in the US, Argentina, Australia, and Canada. In the US, the decline is likely seen resulting from a sharp reduction in acreage and lower yields. Global wheat consumption is projected down slightly from last year record with reduced feed and residual usage partially offset by increased food use.