November 21, 2007

India's new crop soymeal export sales may reach 2 million tonnes

Indian exporters have already contracted to sell around 2 million tonnes of soymeal from the new crop harvest for which started last month, a senior industry executive said Tuesday (November 20).

"We hope that overall exports of soymeal in the marketing year that started in September should top 4.0 million tonnes easily as against last season's actual imports of around 3.7 million tonnes," Davish Jain, chairman of Central Organization of Oil Industry and Trade said.

COOIT is the premier body representing the interests of oilseed traders, exports and growers.

Jain said most of the deals for soymeal have been contracted at an average price of US$330-US$340 a tonne, cost and freight basis, which is far more than previous season.

"We are hopeful that exports will pickup sharply from next month onwards and most of the shipments will be to China, due to the country's growing appetite for soymeal and favourable freight," Jain said.

He also said rapeseed acreage during the ongoing winter planting season might drop due to unfavourable weather and competition from wheat.

"However, initial sowing reports show that the shift has not been as acute as being anticipated in some quarters and mostly restricted in northern provinces.

Latest data showed rapeseed has been planted in around 3.51 million hectares of land this year as against 5.27 last year.