February 1, 2011
 

India's oilseeds, soyoil soars after Argentina's strike

 

 

India's oilseeds and soyoil futures soared on Monday (Jan 31) afternoon following a rise in markets worldwide, despite the fact of an expected rise in rapeseed harvest, according to analysts.

 

At 1:19 p.m., the US March soy Sc1 was up 0.84% at US$14.09-½ per bushel, while benchmark Malaysian palm oil futures KPOc3 were up 1.68% at MYR3762 (US$ 1229.41) a tonne.

 

"Traders were speculating that Indian soymeal exporters may gain from a port strike in Argentina. They can get higher export price for soymeal," said Prasoon Mathur, analyst with Religare Commodities.

 

In Argentina, a pay strike has stopped 20 ships from loading, threatening exports from one of the world's biggest food suppliers. The strike has paralyzed soy-crushing plants and port terminals in the northern Rosario area.

 

February soyoil NSOG1 on India's National Commodity and Derivatives Exchange (NCDEX) was up 0.55 % at INR656.70 (US$14.33) per 10 kg.

 

The February soy futures contract NSBG1 rose 0.84% to INR2468.50 (US$53.86) per 100 kg.

 

In the Indore spot market, soyoil was up INR0.85 (US$0.02) at INR629.15 (US$13.72).

 

Rapeseed for April delivery NRSJ1 was 0.41% higher at INR2951 (US$64.39) per 100 kg.

 

As on January 28, area under rapeseed in the country stood at 7.2 million hectares, compared to 6.5 million hectares during the same time a year ago.

 

At Sri Ganganagar spot market in Rajasthan, the biggest producer of rapeseed, price fell by INR18 (US$0.39) to INR2777 (US$60.60) per 100 kg.

 

India's oilmeal export jumped 94% in December from a year earlier, its sixth straight monthly rise, on robust demand from traditional buyers in Japan, Vietnam and Indonesia, data from a leading trade body showed.