MUMBAI, May 28 (Reuters) - Indian soybean futures ended down on Thursday on expectations of record acreage in the coming sowing season, but good demand in the spot market limited the losses, analysts said.
Soybean futures had breached the upper circuit in the previous session.
Soyoil futures also ended down on weak soybean market and expectation of a jump in imports of palm oil, a substitute, as trade expects the federal government may levy an import duty on edible oils.
Last year, the government had scrapped imports duty on crude edible oils in an effort to contain rising prices.
Anticipation of higher acreage may result into further fall in the prices, brokerage Karvy Comtrade Ltd, said in report.
India's soybean acreage may rise for a seventh year in a row to touch 10 million hectares (24.71 million acres) this sowing season on better returns than most crops, experts said. See [ID:BOM463848]. Soybean is crushed to produce soyoil.
A rise in acreage may translate into higher output, which would push up supplies and subdue prices.
However, firm spot prices in central city of Indore, a hub for soybean trade in India, limited the losses. Prices in spot rose 0.82 percent to 24,600 rupees per tonne, while soyoil rose 0.43 percent at 46,900 rupees per tonne.
Source : REUTERS INDIA