India oilseeds, soyoil ease on stronger rupee, global cues
Indian oilseeds and soyoil futures eased on Tuesday on a stronger rupee, losses in overseas markets…Indian oilseeds and soyoil futures eased on Tuesday on a stronger rupee, losses in overseas markets and concerns that exports of soymeal to Iran may drop following a deal between Tehran and six world powers to curb the Islamic Republic's nuclear programme.
* Malaysian palm oil futures edged lower, extending losses into a second day on prospects for production in the world's second-largest grower to be stronger than expected.
* A stronger rupee makes edible oil imports cheaper, but trims the returns of oilmeal exporters. The rupee rose on Tuesday.
* "The continuous appreciation of the rupee has been putting pressure on edible oil and oilseed prices," said Badruddin Khan, associate vice-president of research at Indiabulls Commodities.
* "There are concerns that Iran may switch to Argentina and Brazil for soymeal as sanctions have been eased."
* Iran is the biggest buyer of Indian soymeal. It often pays premium for Indian soymeal over global prices as Tehran struggles to secure supplies from other countries.
* At 0813 GMT, the key December soybean contract on the National Commodity and Derivatives Exchange was down 0.29 percent at 3,840 rupees ($61.47) per 100 kg, while the key December soyoil contract fell 0.62 percent to 721.60 rupees per 10 kg.
* India's soybean production in 2013/14 is likely to drop 4.4 percent from the previous year to 10.23 million tonnes after heavy rains in growing areas during the harvest season damaged the crop.
* The rapeseed contract for December was down 0.16 percent at 3,786 rupees per 100 kg.
* Indian farmers have cultivated rapeseed on 5.44 million hectares as on Nov. 21, compared with 5.24 million hectares a year earlier.
* At the Indore spot market in Madhya Pradesh, soybeans fell 53 rupees to 3,909 rupees per 100 kg, while soyoil eased 5.15 rupees to 724.80 rupees per 10 kg. At Jaipur in Rajasthan, rapeseed was down 3 rupees at 3,852 rupees. ($1 = 62.4650 Indian rupees)