Mustard seed up in Jaipur on demand from crushers

Prices of mustard seeds were up in Jaipur due to improved demand from crushers and oil millers. Mustard crushing across the country was estimated at 800,000 tn in March, more than double from last month’s 375,000 tn. A fall in arrivals also supported prices of mustard seed. Export demand for mustard meal also supported prices in the domestic market.

Soybean futures are trading 5 to 7 cents lower

Soy meal was down $4.00/ton, with front month soy oil 2 points lower. Managed money in soybean futures and options added 6,953 contracts to their net long position of 177,047 contracts last week. Meanwhile in soy oil, they were at their largest recorded net short position of -73,540 contracts. No deal was reached in two days of negotiations between the US and China, with both sides suggesting some minor issues had been solved but none of the major requests. BAGE estimated the soybean crop in Argentina at 61.8% complete, in front of the normal pace of 56.4%.

India 2018-19 soybean area seen up 10% at 11.5 mln ha

With monsoon expected to be normal this year and returns in soybean seen better, acreage of the oilseed is likely to rise 10% on year to around 11.5 mln ha in the 2018-19 (Jul-Jun) kharif season. At present, prices of soybean are around 20% above minimum support price in key markets in the country. It will encourage farmers to sow more soybean this year. The official’s sowing projection was the highest among the 13 respondents at 14.0-15.0 mln ha for 2018-19, against 11.0 mln ha estimated this year. Farmers had switched to other crops for better returns in 2017-18 and in next kharif they are most likely to come back to soybean. Growers in Madhya Pradesh are also expected to switch to soybean from jowar and minor grains like kodo and kutki. Meanwhile, prices of most kharif crops are ruling below their minimum support price in key markets that would further encourage farmers to opt for soybean.