(Reuters) – Indian rapeseed and soyoil futures eased on Monday following a correction in overseas prices and sluggish demand in local spot markets, while soybeans rose on thin supplies.
Malaysian palm oil futures edged lower on Monday as a fall in global shares curbed appetite for risky assets, but a weaker local currency reined in losses.
“Soybean supplies are limited in the spot market and demand is robust from oil mills,” said Isha Trivedi, an analyst with Phillip Commodities India Pvt Ltd.
“The correction in overseas edible oil prices is putting pressure on local oilseeds. Demand is moderate for edible oils. The recent rainfall in Rajasthan is favourable for rapeseed crop,” Trivedi said.
At 0845 GMT, the key February soybean contract was up 0.17 percent at 3,869 rupees per 100 kg on the National Commodity and Derivatives Exchange.
A weaker rupee makes edible oil imports expensive but raises returns of oilmeal exporters. The rupee fell on Monday.
India’s palm oil imports rose to 863,205 tonnes in December from 774,207 tonnes in the previous month.
The February soyoil contract eased 0.42 percent to 686.35 rupees per 10 kg, while the rapeseed contract for April was down 0.73 percent at 3,386 rupees per 100 kg.
Soybeans rose 9 rupees to 4,014 rupees per 100 kg at the Indore spot market in Madhya Pradesh state, while soyoil eased by 2.05 rupees to 698.60 rupees per 10 kg. Rapeseed fell 27 rupees to 3,558 rupees in Jaipur in Rajasthan state.
