Weekly Review-Mustard

25-Jan-2025 07:25 PM

Fall in mustard prices amid limited trading

It looks like the mustard market has faced a significant downturn recently, with prices dropping across various regions.

Despite a slight increase in some markets in Rajasthan, overall trends have been weak. The fall in mustard prices seems to be driven by several factors, including the softness in the entire oilseed-oil market, limited demand for mustard cake and DOC, and cheaper imports of edible oils, which have kept local prices under pressure. 

The decline in sowing area is notable, as mustard is an important crop for the Rabi season, and reduced sowing could impact supply later on. However, the early arrival of new mustard starting next month might keep the price pressures alive.

The drop in mustard oil prices, which followed the decline in mustard prices, further reflects the weak market conditions. 

It seems like the overall sluggishness in the market is further compounded by the lack of incentives for crushers and processors to buy mustard at higher prices, especially with cheaper edible oils available for import. Do you think the prices will stabilize in the coming weeks, or could further drops be expected?