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Edible oils strengthen on rising demand, tight supply

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Press Trust of India New Delhi
Last Updated : Jun 11 2016 | 12:13 PM IST
Edible oils extended gains for the second straight week at the wholesale oils and oilseeds market on the back of rising demand from vanaspati millers and retailers against restricted supplies from producing belts amid firming trend overseas.
However, non-edible oils moved in a narrow range in scattered deals and settled at previous levels.
Marketmen said pick up in demand from vanaspati millers and retailers amid tight stocks position on restricted supplies from producing regions mainly kept edible oil prices higher.
In the national capital, groundnut mill delivery (Gujarat) oil surged by Rs 500 to Rs 11,600 per quintal, while groundnut solvent refined held steady at Rs 1,900-1,950 per tin.
Cottonseed mill delivery (Haryana) and mustard expeller (Dadri) oils rose by Rs 100 each to Rs 6,100 and Rs 8,100 per quintal, respectively.
Palmolein (RBD) and palmolein (Kandla) oils too edged up by Rs 50 each to Rs 5,850 and Rs 5,900, while crude palm oil (ex-kandla) traded higher by a similar margin to Rs 4,350 per quintal, respectively.

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Soyabean refined mill delivery (Indore) and soyabean degum (Kandla) oils followed suit and ended higher by Rs 50 each to Rs 6,750 and Rs 6,450 per quintal, respectively.
Grains: Wheat prices extended gains for the third straight
week at the wholesale grains market in the national capital on tight stocks position on fall in supplies from producing regions against increased offtake by flour mills.
Few other bold grains also moved up on pick up in demand from consuming industries.
However, rice rice basmati met with resistance at prevailing levels and ended lower.
Traders said tight stocks position following fall in supplies from producing belts against increased offtake by flour mills mainly kept wheat prices higher.
Increased demand from consuming industries led to the rise in other bold grain prices, they said.
Meanwhile, the government may scrap the 25 per cent import duty on wheat if prices continue to rise, Food Minister Ram Vilas Paswan today said.
At present, import of wheat attracts a 25 per cent duty, which is applicable till June 30. Despite expected increase in production this crop year, the prices have shown a rising trend over the past few weeks.
In the national capital, wheat dara (for mills) edged to Rs 1,785-1,790 from previous week's level of Rs 1,780-1,785 per quintal. Atta chakki delivery followed suit and strengthened to Rs 1,795-1,800 as against last close of Rs 1,790-1,795 per 90 kg.
However, atta flour mills, maida and sooji also settled steady at Rs 950-960, Rs 990-1,000 and Rs 1,050-1,060 per 50 kg, respectively on scattered buying support.
Other bold grains like barley and maize rose by Rs 30 each to Rs 1,670-1,675 and Rs 1,480-1,490, while bajra was up by Rs 10 to Rs 1,640-1,645 per quintal, respectively.
Pulses: Firm conditions prevailed at the wholesale market
during the week as most of pulses led by arhar and kabuli gram rose sharply on persistent buying by stockists, driven by rising demand from retailers amid tight stocks.
Traders said increased buying by stockists supported by rising demand from retailers against paucity of stocks on restricted supplies from producing regions, mainly attributed the rise in arhar, kabuli gram and other pulses prices.
Meanwhile, the government has procured 1.11 lakh tonnes of pulses so far from farmers for creating buffer stock and also contracted to import 38,500 tonnes as part of its effort to control the retail prices.
The Centre also asked state governments to seek allocation of pulses from the buffer stock and sell at reasonable prices not exceeding Rs 120 per kg.
In the national capital, arhar and its dal dara variety surged by Rs 600 each to Rs 9,300 and Rs 12,200-13,900 per quintal respectively.
Kabuli gram small variety climbed by Rs 500 to Rs 7,500-9,000 per quintal.
Gram, gram dal local and best quality settled higher at Rs 6,200-6,850, Rs 6,550-6,850 and Rs 7,000-7,100 as compared to last levels of Rs 5,800-6,300, Rs 6,100-6,400 and Rs 6,550-6,650 per quintal, respectively.
In sympathy, besan Shaktibhog and Rajdhani quoted higher at Rs 2,900 instead of Rs 2,850 per 35 kg bag respectively.
Urad edged up to Rs 10,700-12,200 from Rs 10,600-11,800 per quintal. Its dal chilka local, best quality and dhoya followed suit and spurted by Rs 300 each to Rs 11,000-11,100, Rs 11,100-11,600 and Rs 11,500-11,800 per quintal respectively.
Moong and its dal chilka local rose by Rs 200 to Rs 6,300-6,900 and Rs 6,850-7,250 per quintal, respectively. Its dal dhoya local and best quality traded higher by a similar margin to Rs 7,250-7,750 and Rs 7,750-7,950 per quintal, respectively.
Masoor small and bold climbed Rs 300 each to Rs 6,050-6,350 and Rs 6,100-6,400 per quintal, respectively. Its dal local and best quality enquired higher by the same margin to Rs 6,600-7,100 and Rs 6,700-7,200 per quintal,respectively.
Malka local and best quality followed suit and recovered by Rs 100 each to Rs 7,000-7,300 and Rs 7,100-7,400 per quintal.
Moth and rajmah chitra finished higher at Rs 5,500-5,900 and Rs 5,600-6,950 per quintal respectively.
Sugar: An upward trend remained unabated in sugar prices
at the wholesale market in the national capital during the week following sustained buying by retailers, stockists and bulk consumers, triggered by ongoing summer season amid thin supplies from mills, registering gains of up to Rs 40 per quintal.
Marketmen said persistent rise in the sweetener prices was mostly attributed to spurt in demand from bulk consumers coupled with restricted supplies from mills.
During summer season demand for the sweetener from soft-drink makers, ice-cream makers and confectioners goes up notably.
Sugar mill delivery M-30 and S-30 prices rose by Rs 40 each to end the week at Rs 3,450-3,530 and Rs 3,440-3,520 per quintal.
Likewise, Sugar ready M-30 and S-30 prices enquired higher further by Rs 30 each to settle at Rs 3,730-3,830 and Rs 3,720-3,820 per quintal.
In the millgate section, sugar Kinnoni, Dorala and Chandpur gained the most by Rs 40 each at Rs 3,530, Rs 3,470 and Rs 3,450 per quintal.
In tune with overall trends, sugar Sakoti, Asmoli, Budhana, Thanabhavan, Khatuli, Dhanora, Ramala, Dhampur, Anupshaher, Baghpat and Morna advanced further by Rs 30 each to Rs 3,450, Rs 3,500, Rs 3,460, Rs 3,450, Rs 3,500, Rs 3,450, Rs 3,440, Rs 3,450, Rs 3,440, Rs 3,460 and Rs 3,450 per quintal respectively.
Jaggery: The wholesale gur (Jaggery) market displayed a
firm trend for the second straight week in the national capital on speculative buying by stockists, triggered by paucity of stocks and recorded handsome gains of up to Rs 200 per quintal.
A similar trend was also extended to Muzaffarnagar and Muradnagar gur markets.
Marketmen said the rise in gur prices was mostly supported by speculative buying by stockists, driven by tight stocks following negligible arrivals from manufacturing belts due to adverse weather conditions.
Besides, an upward trend in sugar prices too influenced gur prices, they added.
In Delhi, gur chakku prices recorded a significant rise of Rs 200 to close the week at Rs 3,600-3,700.
In tune with trend, gur dhayya and shakkar prices were up by Rs 100 each to end at Rs 3,700-3,800, Rs 3,900-4,000 and Rs 4,000-4,100 per quintal, respectively.
At Muzaffarnagar, gur chakku registered a rise of Rs 100 to finish the week at Rs 3,150-3,250 per quintal.
Gur Raskat also evoked brisk demand from beer makers during the week and settled higher by Rs 100 to Rs 2,700-2,750 per quintal.
Coming to Muradnagar, gur pedi prices spurted by Rs 100 to end at Rs 3,350-3,400.
Dryfruits: A firm trend emerged at the wholesale dryfruits
market in the national capital during the week mainly on increased buying by stockists and retailers, supported by increased demand, triggered by ongoing Ramzan.
Besides, export demand influenced select dryfruit prices.
Sentiment remained firm mostly on increased offtake by stockists and retailers, marketmen said.
Almond California prices rose by Rs 200 to end the week at Rs 16,500-16,700 per 40 kg, while its kernel traded higher by Rs 20 at Rs 590-595 per kg largely on higher outside trends and strong consumers demand.
Almond gurbandi and girdhi also increased up to Rs 300 to conclude at Rs 10,500-10,600 and Rs 5,200-5,500 per 40 kg.
Chilgoza-roasted prices improved by Rs 50 to close at Rs 1,050-1,350 per kg on ongoing 'Ramzan' demand.
Cashew kernel No 180, No 210, No 240 and No 320 and its broken (2, 4 and 8 pieces) rose Rs 5 each to Rs 900-930, Rs 840-850, Rs 750-760, Rs 675-700, Rs 575-660, 540-650 and Rs 550-625 per kg, respectively.
Kishmish Indian yellow and green went up Rs 100 each at Rs 2,800-4,500 and Rs 5,000-9,000 per 40 kg.
Pistachio Irani, hairati and peshwari prices rose up to Rs 25 to settle at Rs 1,100-1,175, Rs 1,080-1,180 and Rs 1,280-1,380 per kg, respectively.
Kirana: Select spices depicted a weak trend in the local
wholesale market during the week on stockists selling against slackened demand at prevailing high levels.
The sentiment turned weak on adequate stocks position following increased arrivals from producing belts.
Black pepper prices declined by Rs 10 to conclude the week at Rs 710-850 per kg.
Cardamom brown jhundiwali and kanchicut fell by up to Rs 30 to finish at Rs 1,350-1,360 and Rs 1,400-1,600 per kg, respectively.
Cardamom small varieties such as chitridar, colour robin, bold and extra bold shed Rs 5 each to Rs 565-745, Rs 575-585, Rs 595-620 and Rs 695-725 per kg, respectively.
Coriander slipped to Rs 7,400-13,900 from last week's close of Rs 7,600-14,100 per quintal.
Kalaunji prices fell by Rs 500 to finish at Rs 20,000-20,500 per quintal.
Red chilli and turmeric prices eased up to Rs 500 to conclude at Rs 10,800-19,000 and Rs 8,800-12,600 per quintal, respectively.
Jeera common and jeera best quality also fell by Rs 100 each to end at Rs 16,500-16,700 and Rs 19,000-19,500 per quintal, respectively.
Bullion: Riding on a firm trend overseas and increased buying by jewellers at domestic spot market, gold prices extended gains for the second straight week at the bullion market during the week.
Silver followed suit and reclaimed the crucial Rs 41,000-mark per kg due to increased offtake by industrial units and coin makers.
Traders said sentiment remained firm on the back of positive global cues where gold soared to over three-week high on speculations that the US interest rates will stay lower for longer amid sustained buying by jewellers at the domestic markets.
Globally, gold climbed to settle the week at USD 1,273.30 an ounce and silver to USD 17.28 an ounce in New York.
In the national capital, gold of 99.9 and 99.5 per cent purity commenced the week lower and slipped further to Rs 29,030 and Rs 28,880 per 10 gram, respectively owing to slackened demand.
Later, it staged a recovery, taking positive cues from global market along with jewellers buying at domestic spot market and finished higher at Rs 29,500 and Rs 29,350 per 10 gram respectively, showing a rise of Rs 275 each.
Sovereign followed suit and went up by Rs 200 to Rs 23,000 per piece of eight gram.
Following gold, silver ready also ended the week higher by Rs 1,865 to Rs 41,065 per kg and silver weekly-based delivery moved up by Rs 1,970 to Rs 41,050 per kg.
Silver coins too spurted by Rs 2,000 to Rs 69,000 for buying and Rs 70,000 for selling of 100 pieces.

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First Published: Jun 11 2016 | 12:13 PM IST

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