Edible oil complex fell further on selling pressure supported by sharp decline at global markets.
The soy bean June contract made four week low of Rs1933 and closed at Rs1944 levels.
Meanwhile, soy oil June contract recovered from new contract low of Rs440.40 and closed at
Edible oil imports in April 2010 fell by 22 percent due to huge stockpiles in the domestic market.
Imports during April 2010 reported at 5.43 lakh tonnes against 6.99 lakh tonnes in same month
of last year. Edible oils imports during first six months of edible oil year beginning from
November is reported at 42.9 lakh tonnes almost same as that of last year. Total stock available in the market is estimated at 12.25 lakh tonnes of which 5.75 lakh tonnes lying in the ports.
Global edible oil markets continue to fall on economic crisis in Europe and strong US Dollar. Soy bean futures at CBOT six weeks low of 937 cents and currently trading steady at 943 cents. Soy oil futures made low of 37.15 cents yesterday and currently trading at 37.33 cents.
Despite early monsoon forecasts, guar seed futures failed to fall in a big way as the participants
are cautious ahead of May contract expiry. The active contract June NCDEX made intraday low of Rs2308 and closed at Rs2323 levels.
IMD has announced that monsoon is likely to set over Kerala on 30th of May as per normal
schedule. Normal arrival of monsoon is beneficial for the kharif crops. However, market is waiting for region-wise monsoon, where IMD is yet to announce these forecasts. Market is also cautious ahead of May contract expiry. Guar seed futures are expected to remain sideways as participants
are closely watching the monsoon progress.