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India's edible oil prices fall on rising imports.


Date: 17-09-2009
Subject: India's edible oil prices fall on rising imports
MUMBAI (Commodity Online): Import of Vegetable Oils during August 2009 is marginally up by 4% and reported at 650,603 tons compared to 622,813 tons for August 20’08. Overall import of vegetable oil during November 2008 to August 2009 jumped by 49% to 7,070,491 tons from 4,761,331 tons for the same period of last year.

The international prices of palmoil and soyoil which firmed up in August has cooled down in the past few weeks while local prices are also down.For imported RBD palm oil prices have declined by $98 over 2008 prices. As on September 11, 2009, price per tonne is US $710 as against US $766 in August and US $808 in September 2008, according to data released by Solvent Extractors Association of India (SEAI).

For crude palm oil, prices have fallen by $43 on an annualised basis. As on September 11, the prices were $670 as against $713 last year.For Crude soybean oil, prices have fallen $270 from $1080 last September to $810 as on September 11, 2009 while in August it was higher at $863. For Crude sunflower oil, the prices have fallen by $365 to $790 from $1155 a year ago and $856 in August, 2009.

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Similar trend is visible in local edible oil prices too. As on September 11 RBD Palmolein fell from Rs 43713/ton in September 2008 to Rs 37,300 while Crude palm oil fell from Rs 35167 to Rs 33400, Refined Soybean Oil fell from Rs 56450 to Rs 42000, sunflower oil fell from Rs 57879 to Rs 41000 and rapeseed oil fell from Rs 63025 to Rs 50000 per ton.

Kharif sowing data released by Ministry of Agriculture for week ending 10th September 2009 vis a vis same period of the last year (2008) indicates that sowing is nearly normal.

In last two weeks, the acreage has increased by 7.05 lakh hectre mainly in Castor,Sesamum and Nigerseed. The overall sowing area as on September 10 at 165.92 lakh hectares is very close to normal area of 166.40 lakh hectre, raising the hope to have nearly normal kharif oilseed crop. However, the acreage is 11.78% less than that of 2008 when it was 177 lakh hectares. Also, late rains in Northern India and Rajasthan in last two weeks has improved prospects for Rabi Crop due to better sub-soil moisture.

RBD Palmolein import cross one million tons

Import of Refined Oil (mainly RBD Palmolein) during Nov.’08 to Aug.’09 is reported at 1,005,595 tons (15%) compared to 398,342 (9%) and Crude Oil is reported at 5,697,803 tons (85%) compared to 3,800,208 tons (91%) for the same period of last year.

Import of palm & soft Oil

Palm products are dominating import share by nearly 4/5th of the total import. Import of Palm Oil in the first ten months (Nov’08-Aug.’09) is reported at 5,293,678 tons compared to 3,681,549 tons for the same period last year. Import of Soft Oil is reported at 1,409,720 tons consist of 530,593 tons of sunflower oil and 823,190 tons of crude soybean oil compared to 517,001 tons during the same period last year.

Import of Non-edible oils in first nine months (Nov’08-Aug.’09) is reported at 367,093 tons compared to 562,781 tons during the same period of last year i.e. down by 35%, thanks to higher import & domestic refining of CPO, leading to better availability of P.F.A.D. & C.P.S , SEAI data said.

Source : commodityonline.com

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