New Delhi. The upward trend in soybean prices continued during the week of January 24-30. Strong buying by crushing and processing units pushed soybean and plant delivery prices well above the Minimum Support Price (MSP).

Prices reached Rs. 5600-5800 per quintal in Madhya Pradesh, Rs. 5800-5900 per quintal in Maharashtra, and Rs. 5600 per quintal in Rajasthan, significantly higher than the MSP of Rs. 5328 per quintal. Government procurement of soybeans at MSP was underway in Maharashtra and Rajasthan, but the pace has slowed down due to the rising prices.

With soybean prices rising by Rs. 200-300 per quintal, the price of refined soybean oil also increased by Rs. 2 to 4 per kg. The significant depreciation of the Indian rupee against the US dollar is making imported soybean oil expensive, so Indian refiners are focusing on purchasing domestic crude soybean oil. Severe drought conditions in Argentina are severely impacting the soybean crop, leading to downward revisions in production estimates. During the week under review, soybean oil prices improved by Rs. 20 in Kota to Rs. 1410 per 10 kg, increased by Rs. 30 each in Kandla and Haldia to Rs. 1370 and Rs. 1355/1360 per 10 kg respectively, and jumped by Rs. 100 in Mumbai to Rs. 1400 per 10 kg. Soybean oil prices remain strong in major exporting countries, and its price at Indian ports is high in rupee terms. Some deals are reportedly being canceled.

On January 27th, 175,000 bags of soybeans arrived in the wholesale markets of the major producing states, and on January 29th, 135,000 bags arrived. Each bag weighs 100 kg. In Maharashtra, the price of soy DOC (de-oiled cake) increased by ₹2,000 to ₹4,000 per ton.