More Stories

Informist, Tuesday, Feb. 18, 2025

By Pallavi Singhal

NEW DELHI – Prices of all edible oils were down Tuesday in key markets of the country, according to traders. While prices of soybean fell due to lower demand and the availability of cheaper substitutes for animal feed, prices of groundnut fell on weak export demand. Mustard fell as arrivals of the new crop continued to come into the market.

SOYBEAN prices were down INR 50 from the previous day at INR 3,700-INR 4,150 per 100 kg in Indore, Madhya Pradesh, Narendra Porwal, a local trader, said. Some low varieties of soybean were priced at INR 2,800-INR 4,050 per 100 kg, said Shailendra Soni, a trader from Rajasthan. Arrivals were up 400 bags at 3,500 bags, Soni added.

"With soybean prices below the minimum support price even after record procurement, farmers and market participants are not happy and most probably will shift to other profitable crops next year," Soni said. 

Soybean prices remained below the minimum support price of INR 4,892 per 100 kg due to the high moisture content in the seed and the availability of cheaper substitutes. Despite record procurement, prices stayed below the minimum support price, as cheaper substitutes like distillers dried grains with solubles were available, traders said.

Prices of MUSTARD in Jaipur were down INR 75 at INR 6,175-INR 6,200 per 100 kg, traders said. Arrivals in Rajasthan were steady at 75,000 bags (1 bag = 50 kg), and those across India were at 300,000 bags. 

"In coming days, mustard prices are expected to fall by INR 50-INR 150 due to expectations of more arrivals of new crops," said Mahesh Sameriya, a trader from Rajasthan. However, prices are expected to increase in the medium term around March from the current levels on festive demand, he said. As of Feb. 4, mustard acreage was down 2.8% on year at 8.93 million hectares. 

GROUNDNUT prices at Gondal in Gujarat were down INR 50 at INR 5,450-INR 6,700 per 100 kg, said Ashok Virvani, a local trader. "It is due to weak export demand that groundnut prices are being affected negatively," he said. "Meanwhile, millers are buying less and there has been less crushing."

Although prices improved last week due to procurement by government, traders see it is as a temporary phenomenon and do not see it persisting long term. Prices are expected to fall further in long term due to expectations of huge production this year compared to the previous year, he added.

End

With inputs from Anjali Lavania

Edited by Tanima Banerjee

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd by NSE Data & Analytics Ltd, a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt Ltd.

Informist Media Tel +91 (11) 4220-1000

Send comments to feedback@informistmedia.com

© Informist Media Pvt. Ltd. 2025. All rights reserved.