New Delhi. Due to a reduction of approximately 1 million hectares in sowing area and significant crop damage from floods and rains, soybean production is expected to decline significantly during the current season. Arrivals in markets are also limited, but prices are still declining.

During the week of October 4-10, the loose market price and plant delivery price of soybean fell further by ₹100-200 per quintal, while they were already trading well below the minimum support price of ₹5328 per quintal. The plant delivery price of soybean was recorded at ₹4200-4400 per quintal in Madhya Pradesh, ₹4400-4600 per quintal in Maharashtra, and ₹4400 per quintal in Rajasthan.

However, due to festive demand, the price of refined soybean oil increased by 10-20 rupees per 10 kg. In Pithampur, Madhya Pradesh, it increased by 20 rupees to 1260-1265 rupees per 10 kg, in Mumbai, Maharashtra, it improved by 10 rupees to 1270 rupees, in Kota, Rajasthan, it increased by 20 rupees to 1290 rupees, in Kandla, Gujarat, it improved by 10 rupees to 1255 rupees, and in Haldia, Bengal, it increased by 23 rupees to 1265 rupees per 10 kg.

Due to the rise in the global market, the import price of soybean oil increased. During the week under review, the import price of soybean degum increased by 2112 rupees per tonne, or $25 per tonne, while the price of high seas increased by 14 rupees per 10 kg. The price for October delivery reached $1193 per tonne.

Prices remained unchanged in Madhya Pradesh due to limited soybean DOC trading, but prices declined in Maharashtra due to weak demand. A decline of ₹500 to ₹1,500 per tonne was recorded. Rajasthan also saw a decline of ₹1,000.

The arrival of new soybean stock is expected to pick up in the coming days. SOPA has estimated production to decline from 12.5 million tonnes to 10.5 million tonnes.