Edible Oil Prices: The prices of all edible oilseeds closed with losses last week amid a declining trend in foreign markets. During this period, the prices of mustard, groundnut, soybean oil-oilseeds, crude palm oil (CPO) and palmolein as well as cottonseed oil declined. Expert market sources said that the demand for these edible oils is already affected amid high palm-palmoline prices. However, last week the price of these edible oils fell from $ 1,240-1,245 per tonne in the previous week to $ 1,200-1,205 per tonne. After that, the government has increased the exchange rates for import after increasing the import duty value of imported oils. Combining these two, the cost of import has increased by another Rs 150 per quintal.

Edible oil plants are not able to operate at full capacity 

It is already difficult to consume palm and palmolein and after the increase in import duty and exchange rate, palm-palmoline will become more expensive, so its consumption will become even more impossible. He said that sunflower import has decreased due to high prices. Apart from this, the import of palm-palmoline is also affected due to high prices. There is a need to think about where and with which edible oil the shortage of these edible oils will be met. In this situation, even if the import of soybean oil increases a little, it will not be enough to meet the demand. Sources said that edible oil plants in the country are not able to work at full capacity. The rate at which soybean production has increased, soybean is not arriving in the markets accordingly. Besides cottonseed, arrivals of oilseeds like groundnut, soybean and mustard have also been affected due to breaking of price of cottonseed cake in futures trading and selling of cottonseed seed initially below Minimum Support Price (MSP) cost by Cotton Corporation of India (CCI).

Prices of groundnut cake and soybean DOC weakened 

This is because due to the fall in the price of cottonseed, the prices of groundnut cake and soybean DOC have also weakened. Due to which the demand for soybean and groundnut oilseeds from the oil plant has also been affected. The oil plant will benefit from buying and crushing these only when there is a demand for the groundnut cake and soybean de-oiled cake (DOC) produced from these oilseeds, there is a market for them. He said that the government will have to pay attention to creating a market for these cakes and DOC or buy soybean DOC instead of soybean and stock it and try to increase exports. This time the production of cotton is also less, so the Cotton Corporation of India (CCI) should also be instructed to stop selling cottonseed seed at a price lower than the cost, because if there is any shortage of edible oils in the future, cottonseed seed can be used to meet it.

Latest prices of oilseeds

As against the arrival of 2-2.35 lakh bales of cotton bales in the previous week, the arrival has declined to 1 lakh 30-35 thousand bales during the week under review. The wholesale price of mustard seed last week closed at Rs 6,525-6,575 per quintal with a loss of Rs 125. The wholesale price of mustard Dadri oil closed at Rs 13,600 per quintal with a loss of Rs 250. The price of mustard Pakki and Kachi Ghani oil closed at Rs 2,300-2,400 and Rs 2,300-2,425 per tin (15 kg) respectively, with a loss of Rs 30 each. The wholesale price of soybean grain and soybean loose closed at Rs 4,300-4,350 and Rs 4,000-4,100 per quintal respectively during the week under review. Similarly, the prices of Soybean Delhi, Soybean Indore and Soybean Degum declined by Rs 300, Rs 150 and Rs 275 respectively and closed at Rs 13,100, Rs 12,950 and Rs 9,050 per quintal, respectively.

In the week under review, peanut oil-oilseeds prices witnessed a decline as compared to the previous weekend. The price of peanut oilseeds closed at Rs 5,800-6,125 per quintal with a decline of Rs 125, while the price of peanut oil Gujarat closed at Rs 14,000 per quintal with a decline of Rs 400 and the price of peanut solvent refined oil closed at Rs 2,125-2,425 per tin with a decline of Rs 45. The price of crude palm oil (CPO) fell by Rs 350 to close at Rs 12,900 per quintal. The price of Palmolein Delhi closed at Rs 14,000 per quintal with a decline of Rs 450 and the price of Palmolein ex Kandla oil closed at Rs 13,100 per quintal with a decline of Rs 400. Amidst the general trend of decline, cottonseed oil also closed at Rs 11,900 per quintal with a decline of Rs 200 in the week under review.