India’s soybean production during the 2017/2018 crop year may drop 22 percent from a year ago after a reduction in the planting area and because of a prolonged dry spell in key growing regions. India is likely to produce 9 million tonnes of soybeans during the 2017/18 crop year starting from Oct. 1, down from 11.5 million tonnes in the current year. Farmers have cultivated soybeans on 10.5 million hectares this year, down 8.4 percent from a year ago. This year, a prolonged dry spell in July and August curtailed the crop in the states of Madhya Pradesh and Maharashtra, which account for nearly 85 percent of the country’s total soybean production.
Groundnut, mustard oil ease on muted demand.
Prices of groundnut and mustard oil fell by up to Rs 100 per quintal at the wholesale oils and oilseeds market owing to slackened demand against adequate stocks position. However, other edible and non-edible oils moved in a narrow range in limited deals and pegged at the last levels. Easing demand from retailers against adequate stocks position on increased supplies from producing belts, mainly led to the decline in groundnut and mustard oil prices.
India Sugar prices down as govt allows import.
Prices of sugar were down in key wholesale markets across the country after the Centre allowed imports of the commodity. The Centre has allowed import of 300,000 tonnes raw sugar at a basic Customs duty of 25 per cent under the tariff rate quota for 60 days. The import of 300,000 tonnes sugar has been allowed through the ports of Tuticorin and Chennai in Tamil Nadu, Karaikal in Puducherry, Mangalore in Karnataka, and Kakinada, Visakhapatnam and Gangavaram in Andhra Pradesh. This season, average sugar prices in southern India have been ₹150-200 per 100 kg higher than those in the north due to this fall in output. Since the import has been allowed under the tariff rate quota, millers and refiners have to convert the imported raw sugar into refined or white sugar within 30 days from the date of bill of entry.
Cane dues not paid, UP farmers to lay siege to CM’s house.
Up in arms against the failure of the state government to make payment of arrears to sugarcane growers and to accept the other demands of farmers, the Bharti Kisan Union — Lakhowal (BKU) has decided to hold indefinite gherao at the residence of Chief Minister Captain Amarinder Singh.
Imported sugar to get cheaper in south India.
With domestic sugar prices in the wholesale market quoted at around Rs 39 a kg, imported sugar continues to remain cost-effective in southern states even with a 25 per cent duty. In Tamil Nadu, sugar is priced Rs 1.50-2 a kg more than that in Maharashtra due to supply shortage. The southern state faces huge supply deficit this year due to three-four years of subsequent drought resulting into lower local production. Worryingly, the drought continued this year too, which prompted policy makers to allow raw sugar import of 300,000 tonnes at 25 per cent of import duty against the prevailing duty of 50 per cent.
UK sugar production to rise from 900,000 to 1.4m tonnes, ABF.
With the crop developing well, as a result of favourable recent rainfall and temperatures, the latest sugar production estimate for the coming season was in excess of 1.4m tonnes, and this would help to mitigate the impact on profit of lower prices. A reduction in stocks, together with the abolition of sugar quota and export restrictions from October this year, meant that the contracted area for 2017-18 had been increased by a third.