Weekly Review-Soybean
15-Mar-2025 08:33 PM
Soybean prices weaken due to limited buying by plantsKey Highlights (March 8–14, 2025)
Soybean Prices Decline Amid Limited Crushing Demand
- Prices in Madhya Pradesh, Maharashtra, and Rajasthan have fallen well below MSP (₹4,892 per quintal).
- Government procurement has hit a record high, yet crushing units' demand remains weak, pressuring prices downward.
Plant Delivery Prices
- Madhya Pradesh: ₹4,050 – ₹4,225 per quintal
- Maharashtra: ₹4,100 – ₹4,250 per quintal
- Rajasthan: ₹4,050 per quintal
- All prices are significantly lower than MSP (₹4,892 per quintal).
Soybean Oil (Refined) Prices Decline
- Despite festive demand, prices fell ₹15 – ₹50 per 10 kg due to ample imports and stable domestic supply.
- Key Price Drops:
- Mandsaur (MP): -₹55 (₹1,285 per 10 kg)
- Maharashtra: -₹10 – ₹20
- Kota & Kandla: -₹15 each
- Mumbai: -₹10
- Haldia: -₹20
Soybean Arrivals in Domestic Markets
- March 10: 2.55 lakh bags
- March 11: 2.00 lakh bags
- March 12: 1.70 lakh bags
- Trend: Arrivals are declining, but prices remain weak due to slow crushing demand and excess supply.
Soymeal (DOC) Prices Decline
- Weak domestic and export demand, along with ample availability, led to a ₹300 – ₹500 per ton drop.
- Prices now range between ₹25,000 – ₹30,000 per ton.
- Global price fluctuations are influencing the domestic soymeal market.
Stock Situation & Future Outlook
- NAFED holds a massive soybean stock and is looking to release it into the market.
- Once government stocks enter the market, further price declines are expected.
- Poultry feed demand for soymeal is also weakening, adding to the bearish sentiment.
Market Outlook
- Soybean prices likely to remain under pressure due to:
- Limited buying from crushing plants
- Government stock release possibility
- Sufficient imports of refined soybean oil
- Weak export and domestic demand for soymeal
- MSP gap remains a concern, raising questions about government intervention and procurement strategies.