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Select edible oils strengthen on rising demand, tight stocks

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Press Trust of India New Delhi
Last Updated : Dec 03 2016 | 12:28 PM IST
Select edible oil prices strengthened at the wholesale oil and oilseeds market during the week, driven by rising demand from vanaspati millers and retailers in view of ongoing wedding season against tight supplies.
However, non-edible oils held steady in thin trade.
Traders said besides rising demand from vanaspati millers and retailers to meet ongoing marriage season demand, tight stocks position on fall in supplies from producing regions mainly kept select edible oil prices higher.
However, volume of business remained restricted on tight fund positions following the government's surprise move, banning 500 and 1,000 rupee currency notes last month in a bid to flush out black money, they said.
In the national capital, palmolein (RBD) and palmolein (Kandla) advanced by Rs 50 each to Rs 5,900 and Rs 5,950 per quintal, respectively.
Soyabean refined mill delivery (Indore) and soyabean degum (Kandla) oils followed suit and traded higher by a similar margin to Rs 6,750 and Rs 6,450 per quintal.

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Sesame mill delivery and cottonseed mill delivery (Haryana) oils too ended higher by Rs 100 and Rs 50 to Rs 8,200 and Rs 6,700 per quintal, respectively.
On the other hand, groundnut mill delivery (Gujarat) and mustard expeller (Dadri) oils moved in a narrow range in scattered deals and settled at previous week's levels of Rs 10,100 and Rs 8,700 per quintal.
Grains: Weak conditions persisted at the wholesale grains
market during the week as prices of wheat and other bold grains drifted further lower on adequate stocks position against considerable fall in offtake amid paucity of funds.
Traders said besides ample stocks position on improved supplies, reduced offtake by flour mills at prevailing levels mainly kept wheat prices lower.
Volume of business remained poor largely in the face of prevailing crash crunch in the market following the government banning 500 and 1,000 rupee notes last month in a bid to flush out black money.
Meanwhile, Indian flour mills have imported 17.2 lakh tonnes of wheat from Ukraine, Australia and France so far this crop year to meet domestic shortages.
In the national capital, wheat dara (for mills) and wheat (Desi) slipped to Rs 2,100-2,105 and Rs 2,750-3,250 from previous levels of Rs 2,200-2,205 and Rs 2,800-3,335 per quintal, respectively.
Atta chakki delivery followed suit and traded lower at Rs 2,115-2,120 from Rs 2,175-2,190 per 90 kg.
Atta flour mills, maida and sooji also eased to Rs 1,145-1,150, Rs 1,200-1,210 and Rs 1,270-1,275 as compared to last close of Rs 1,175-1,180, Rs 1,240-1,250 and Rs 1,300-1,310 per 50 kg, respectively in line with a wheat trend.
Pulses: Gram and kabli gram prices fell sharply by up to
Rs 1,000 per quintal at the wholesale pulses market during the week owing to slackened demand at prevailing levels against adequate stocks position on improved supplies amid paucity of funds.
Urad, arhar and moth also ended lower for want of support.
Marketmen said ample stocks position on increased supplies from producing regions amid government's measures to check rising prices, mainly kept pressure on gram, kabli gram and other pulses prices.
Meanwhile, the government has created 6.38 lakh tonnes of pulse buffer stock so far through domestic purchase and imports.
Besides, restricted activity due to prevailing cash crunch in the market following the government banning 500 and 1,000 rupee notes last month in a bid to flush out black money weighed on prices, they said.
In the national capital, gram, gramdal local and best quality suffered the most and tumbled to Rs 9,000-9,400, Rs 9,800-10,100 and Rs 10,200-10,300 against last close of Rs 10,000-10,200, Rs 10,800-11,100 and Rs 11,200-11,300 per quintal, respectively.
Kabli gram small variety followed suit and plunged to Rs 9,500-10,000 from previous level of Rs 9,800-10,200 per quintal.
Besan Shaktibhog and Rajdhani quoted lower at Rs 4,400 each instead of Rs 4,500 each per 35 kg bag.
Urad and its dal chilka moved down by Rs 200 each to Rs 6,700-7,700 and Rs 7,000-7,100 per quintal. Its dal best quality and dhoya traded lower by a similar margin to Rs 7,100-7,600 and Rs 7,500-7,800 per quintal.
Arhar and its dal dara variety fell by Rs 150 and Rs 200 to Rs 6,050 and Rs 7,900-9,700 per quintal, respectively.
Masoor small and bold softened to Rs 5,100-5300 and Rs 5,200-5,350 against last close of Rs 5,250-5,350 and Rs 5,300-5,400 per quintal. Its dal local and best quality lost Rs 100 each at Rs 5,600-6,100 and Rs 5,700-6,200 per quintal.
Sugar: Weak conditions remained unabated for the second
straight week at the wholesale sugar market in the national capital with prices falling further by up to Rs 100 per quintal on ample ready stocks following persistent supplies form mills against slackened buying by bulk consumers.
Marketmen said the sustained fall in sweetener prices was mostly attributed to mounting stocks in the market following steady inflow of supplies from mills amid scattered buying activity by bulk consumers due to cash crunch after the government banned 500 and 1,000 rupee notes last month to flush out black money.
Meanwhile, beginning of new month somewhat managed to cap notable fall in sweetener prices, they added.
In the price section, sugar ready M-30 and S-30 prices depicted a sharp fall of Rs 100 each to settle the week at Rs 3,750-3,900 and Rs 3,740-3,890 as compared to previous week's close of Rs 3,850-4,000 and Rs 3,840-3,990 per quintal.
Mill delivery M-30 and S-30 prices slipped by Rs 40 each to conclude the week at Rs 3,430-3,630 and Rs 3,420-3,620 per quintal.
In the millgate section, sugar Ramala and Nazibabad lost the most by Rs 50 each to Rs 3,430 and Rs 3,420, while Morna, Anupshaher and Baghpat dropped by Rs 40 each to Rs 3,440, Rs 3,430 and Rs 3,440 per quintal, respectively.
Sugar Simbholi and Asmoli declined by Rs 30 each to Rs 3,590 and Rs 3,580, meanwhile Mawana and Modinagar fell Rs 25 each to both ended at Rs 3,525 each per quintal.
Jaggery: In a lacklustre trading, prices after moving in
tight range in the absence of any worthwhile activity due to prevailing cash crunch, settled flat during the week at the wholesale gur (Jaggery) market in the national capital during the week under review.
On the other hand, Muzaffarnagar gur market depicted a slightly better trend with gur khurpa prices rising by Rs 100 per quintal on paucity of stocks, while Muradnagar gur market ended subdued with gur Pedi prices falling by Rs 50 per quintal on muted demand.
Marketmen said paucity of ready stocks particularly pushed up gur khurpa prices in Muzaffarnagar, while subdued demand kept pedi prices lower in Muradnagar.
In Delhi, gur Chakku, Dhayya, Pedi and Shakkar prices remained unmoved throughout the week at Rs 3,100-3,200, Rs 3,400-3,500, Rs 3,100-3,200 and Rs 3,500-3,600 per quintal, respectively.
At Muzaffarnagar, gur Khurpa prices were higher by Rs 100 to finish the week at Rs 2,700-2,750 per quintal.
Though, Laddoo and Chakku prices ended same on last week's closing levels of Rs 2,900-3,000 and Rs 2,750-3,000 per quintal.
Gur Raskat prices also closed unchanged at Rs 2,500-2,600 per quintal in restricted activity.
Coming to Muradnagar, gur pedi prices fell by Rs 50 to end the week at Rs 2,700-2,750, while Dhayya prices remained unaltered at Rs 2,850-2,900 per quintal.

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First Published: Dec 03 2016 | 12:28 PM IST

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