Soyabean falls on good arrivals

MUMBAI: Soyabean prices came down in the spot and futures market on Monday with good arrivals. Around 2.25 lakh bags arrived in Madhya Pradesh while 50,000 bags arrived in Maharashtra.

In Indore spot market, prices fell by Rs 30-50 at Rs 1,600 per quintal levels against the last week’s close. The soyabean October contract at NCDEX fell by over 1% at Rs 1,608 per quintal levels. "Soyabean October contract will trade between Rs 1,550-Rs 1,580 levels," M F Global research analyst Rajini Panicker said.

Good soyabean production prospects are also creating pressure on prices. According to Indore-based The Soyabean Processors Association of India (Sopa) first estimates, soyabean production is likely at 88.65 lakh tonnes against 71.5 lakh tonnes last year.

This is around 2 lakh tonnes more that the estimates of the central organisation for oil industry and trade. Sopa will come out with its second estimates in the next 20 days.

"The yield in Maharashtra has shown an improvement of over 10% while yields in other areas like Madhya Pradesh, Rajashtan, Andhra Pradesh, Karnataka improved by 5% to 10%," Sopa co-ordinator Rajesh Agrawal said.