August 10, 2009
 
India Feed Weekly: India soymeal exports down on low Southeast Asian demand (week ended Aug 9, 2009)
 
An eFeedLink Exclusive
 
 
Price Summary
 
The concluding week showed a positive response in the overall market.
 
Dry Fodder and Green Fodder remained stable in the market in the last week and traded at previous rates of Rs4, 250 and Rs1250 per tonne respectively.
 
Green Fodder available on the outskirts of Delhi border near Sonepat district of Haryana State was much cheaper than the Delhi wholesale market. The Green Fodder, which is available in Delhi wholesale market, was Rs1, 250 a tonne, however, on the border area, it was easily available at Rs1, 000 a tonne. Even in Panipat, around 93 kilometres from Delhi, it was priced at Rs600 per tonne. However, a supply of green fodder has started pouring in Delhi market though the quantity is very thin.
 
Corn coming from Uttar Pradesh settled at Rs10, 400 a tonne, leaving a positive sign of Rs600 per tonne in comparison to last week's price of Rs9, 800 per tonne.

Pearl Millet also jumped up by Rs800 and settled at Rs9, 550 as against last week's price of Rs8, 750 per tonne.
   
Soy coming from Kota was also up by Rs1, 500 and traded at Rs.22, 000 per tonne as compared to last week's price of Rs.20, 500 per tonne. 
In Delhi, soy price also went up by Rs.1, 200 per tonne in the last week and settled at Rs.22, 800 per tonne as compared to last week's rates of Rs.21, 600 per tonne.

With the price increase in soy, the impact in prices of GNE 40% and 45% went up and settled at Rs18, 500 and Rs20, 000 per tonne respectively giving a positive impact of Rs500 in GNE 40% and Rs800 in GNE 45% per tonne as against last week's prices of Rs18, 000 and Rs19, 200 per tonne respectively.  
 
 
Market analysis
 
Stiff competition from countries like Brazil, Argentina and the US coupled with falling demand from South-East Asia has hit the country's soy meal exports.
 
Export of soymeal during first four months of the current fiscal went down by 76 percent to 0.330 million tonnes (MT) from 1.383 MT reported during the same period last year, Indore based Soybean Processors Association of India (SOPA) on Thursday said. However, it said the exports would improve from August onwards.
 
"With our competitors having huge stocks during last few months, the exports could not take off," Rajesh Agarwal, coordinator, SOPA said. Exports of soymeal during July 2009 was only 58, 040 tonne as compared to 0.284 million tonne during the same month, last year, a decline of around 79.65 percent.     
 
Exports of soymeal during the current oil year October 2008 to July 2009 was 2.9 MT as compared to 4.6 MT achieved during the same period last year, a decline of more than 36 percent.
 
According to data released by Mumbai based Solvent Extractors' Association of India (SEAI) on Thursday, the overall export of oil meals, which also include soymeal, during April-July 2009 period was reported at 0.788 million tonnes (MT) over 1.908 MT for the same period of last year, a steep decline of 59 percent.
 
SEAI attributed the decline to weak export demand, mainly due to sluggish demand from countries like Vietnam, South Korea and Malaysia and lower crushing and processing soybean.
 
The export during July 2009 was reduced to 0.173 MT from 0.475 MT in July 2008, down by 63 percent; China bought 0.137 MT mainly consisting of rapeseed meal of 0.137 MT and small quantity of soymeal.
 
However, export to Vietnam greatly reduced to 0.238 MT from 0.511 MT in April-July 2008.
 
Since January 2009, export of oil meals is declining continuously on reduced demand for compound feeds and also for oil meals. The exports of oil meals support the farmers for better realization. The export market of oil meal has developed after great efforts in last many years.
 

Comparative Graph Chart shown from 31th To 32th Week, 2009:

COMMODITY/ TON

Jul 31, 2009

Aug 9, 2009

DIFFERENCE

DRY FODDER

RS 4, 250

RS 4, 250

     Stable 

GREEN FODDER

RS 1, 250 

RS 1, 250    

     Stable

SOY (KOTA)

RS 20, 500

RS 22, 000

 + RS 1, 500

SOY (DELHI)

RS 21, 600

RS 22, 800

 + RS 1, 200

CORN (U.P)

RS 9, 800

RS 10, 400 

 + RS 600

CORN (RAJ.)

      NIL      

        NIL    

        NIL

CORN (BIHAR)

      NIL     

        NIL

        NIL

PEARL MILLET (New Arrival)

RS 8, 750

RS 9, 550

 + RS 800

GNE 40 %

RS 18, 000

RS 18, 500

 + RS 500 

GNE 45 %

RS 19, 200

RS 20, 000

 + RS 800

US$1 = INR 47.76 (August 10, 2009)  


All rights reserved. No part of the report may be reproduced without permission from eFeedLink.