Weekly Edible Oil: Most seen up, soy may gain on higher meal exports
Ram Gopal Yadav (8 years ago)

Futures contracts of most components of edible oil basket, barring mustard, are likely to trade higher on the domestic exchanges over the next five sessions. Soybean contracts on the National Commodity and Derivatives Exchange are seen rising due to hope a of rise in demand from China and shrinking supply in spot market.

Demand for Indian soymeal from China, the world’s largest buyer
Ram Gopal Yadav (8 years ago)

Demand for Indian soymeal from China, the world’s largest buyer, is seen growing as it levied a 25% tariff on imports of soybean from the US. Anticipation of a rise in acreage under soybean following forecast of normal monsoon may clip any sharp increase in prices. Weakness in key soybean contracts on the Chicago Board of Trade may further limit any steep rise on the domestic bourse. Favourable warm weather in the US, the world’s top grower of soybean, may result in higher acreage this year. Refined soyoil on the NCDEX and crude palm oil on the MCX may trade higher on hope of a rise in demand at lower price level in wholesale markets. Depreciation of the rupee against the dollar may also boost prices. Any sharp rise in the tropical oil would be limited, in line with the expected weakness in key crude palm oil contracts on Bursa Malaysia Derivatives. Weak exports in April are seen weighing on the sentiment for CPO. Malaysia’s palm oil exports during the Apr 1-25 are estimated lower on month, at 1.16 mln tn, according to the data from private cargo surveyors.

USDA arm sees Brazil 2018-19 soybean output tad down at 115 mln tn
Ram Gopal Yadav (8 years ago)

Soybean output in Brazil is seen at 115 mln tn in 2018-19 (Feb-Jan), down 500,000 tn from a year ago. Brazil produced a record 115.5 mln tn of the oilseed in 2017-18. The department sees sowing area of the oilseed in Brazil at 35.8 mln ha in 2018-19, up from 35.0 mln ha in 2017-18. Despite the record sowing area, production may decline in 2018-19 due to lower yields. Brazil is likely to export 67 mln tn soybean in 2018-19 against a record 69 mln tn a year ago. Production of soyoil in Brazil is seen at a record 8.5 mln tn in 2018-19 because of rise in biodiesel blending and recovery in the domestic economy. Soyoil production was 8.4 mln tn in 2017-18.

Canada agency sees 2017-18 chana avg prices down on high crop view.
Ram Gopal Yadav (8 years ago)

Canada’s agriculture agency has lowered the average price view of chana or chickpeas for 2017-18 (Aug-Jul) on expectation of higher acreage and thereby higher output in 2018-19. Agriculture and Agri-Food of Canada’s April report has forecasted average prices of Canadian chana to decline to $1,070-$1,100 per tn from $1,120-$1,150 view in March. Average price forecast of Canadian chana in 2018-19 is estimated to decline to $1,000-$1,030 per tn on year. Output of chana in 2018-19 is estimated to rise to 145,000 tn from 92,000 tn in 2017-18. The agency has kept the price outlook for Canadian peas and masur unchanged from its March forecast. Peas price in 2017-18 is estimated at $240-$270 per tn, while for masur it is estimated at $480-$510 per tn. In 2018-19 average peas price is forecast at $220-$250 per tn, while that of masur is estimated at $455-$485 per tn.