Soyabean on NCDEX settled down -0.28% at 3542 due to higher planting in the sowing season that began in June. Higher monsoon rains keeping soybean fields well irrigated in Madhya Pradesh and Rajasthan. However downside seen limited after United States Department of Agriculture reported robust sales in past week. As per the USDA weekly export sales report, for 2016/17 exports were up by 16% at 718,800 tons on week and around 81% from prior-4 week average.
So far the standing soybean crop is in good conditions but it will be too early to project the output at this stage, said an official of Soybean Processors Association of India (SOPA). Indian farmers have planted soybean over 11.18 million hectare until Aug 5 marginally up from 11 million hectare a year due to good monsoon rains. Madhya Pradesh is the largest soybean producing state and sowing stood at 5.36 million hectare versus 5.8 million hectare, agriculture ministry data showed. India produced 8.59 million ton soybean during 2015-16 down from 10.34 million ton, as per fourth advance estimates of agriculture ministry.
The export of soybean meal and its other value added products during July 2016 stood at 12,272 tons compared to 30,688 tons in July 2015 showing a decrease of 60% over the same period of last year. Technically market is under fresh selling as market has witnessed gain in open interest by 0.64% to settled at 52030 while prices down -10 rupee, now Soyabean is getting support at 3522 and below same could see a test of 3501 level, and resistance is now likely to be seen at 3574, a move above could see prices testing 3605.
--Soyabean trading range for the day is 3501-3605.
--Soyabean prices ended with losses due to higher planting in the sowing season.
--Higher monsoon rains keeping soybean fields well irrigated in Madhya Pradesh and Rajasthan.
--So far the standing soybean crop is in good conditions but it will be too early to project the output at this stage, SOPA said.
--At the Indore spot market in top producer MP, soybean gained 7 rupee to 3793 rupee per 100 kgs.
Courtesy: Kedia Commodities