Today, there has been no significant change for refined soy oil and prices for refined soy oil remained mixed. BMD and overnight CBOT also were weak supporting bearish impact. Crushing remained low amidst poor crushing margin. While Government is in favor of reduction in custom duty on Vegetable oil imports to curb rise in prices, trade and Industry is believed to be not in favor of same. CIF crude soy oil prices improved marginally and remained at $695/tonne against $694/tonne for February shipment on Tuesday. Soy oil futures at NCDEX finished up Rs 0.8 at Rs. 464.25/10kg compared to previous closing.

Soybean arrivals declined domestically with steady physical demand, steady soymeal trend and lack of strong fundamentals have mixed reaction across spot markets. Arrivals sharply declined in the Indore region where it remained at 50,000 bags against yesterday’s 90,000-100,000 bags. Crushing margins for soymeal at processors end have declined marginally due to higher cost of beans. Solvent extraction plants limited their regular offtake of beans for processing and with normal refining of crude soy oil to meet regular demand. The NCDEX February contract closed at Rs 1431.5/qtl, Rs 6.8 above the previous closing level.

Stockists continued offtake of seeds at prevailing prices in anticipation of further increase in demand for edible oil to meet marriage season and winter demand. NAFED has revised lower the mustard seed rates [stocked during 2005-06] to Rs 1700 per qtl against 1690/qtl for Kota, however rates quoted for Jaipur Centre stood at Rs 1745 per qtl against previous 1735 per qtl. As per trade sources millers have piled up sufficient stocks and can continue crushing till new crop arrivals. The NCDEX February contract closed at Rs 1431.5/qtl, Rs 6.8 above the previous closing level.