New Delhi. For the last few weeks, there was an environment of rise and strength in the plant delivery price of soybean in top producing states like Madhya Pradesh, Maharashtra and Rajasthan and at some places it crossed the minimum support price (MSP) limit of Rs 4892 per quintal and reached Rs 5000 per quintal.

But due to some weakening of demand at high prices, a softening of 25-50 rupees per quintal was recorded during the week of 9-15 August. Still, the price of soybean is running between Rs 4800-4900 per quintal. But during the week under review, the price of soy refined oil improved by 5-10 rupees per 10 kg. Festival demand has started coming in it and news of rise and strength is also coming from abroad.

Strong crushing of soybean is going on in Argentina and Brazil, while the arrival of new soybean stock is expected to start in the US from the second half of next month. New sowing of soybean will start in Brazil from September.

The sowing of soybean, the main oilseed crop of Kharif season, has reached its final stage and its area is lagging behind last year. There is also a possibility of damage to the soybean crop due to excessive rains in some areas and waterlogging in the fields.

SOPA has estimated that the soybean acreage in Madhya Pradesh, Maharashtra and Rajasthan will be lower than last year and government data.

One of the reasons for the softening of plant delivery price of soybean during the week under review is the weak demand and price of soybean DOC. Its price fell by Rs 500-1000 per tonne. The preparation for harvesting of the new crop of early sowing of soybean will start in the third-fourth week of September, while its supply pace will start increasing from October.