Softening in Soybean Prices Due to Weak Demand at High Price Levels
New Delhi. The supply of new-season soybean has begun to increase across the three major producing states—Madhya Pradesh, Maharashtra, and Rajasthan—while exports of soybean meal remain extremely sluggish. Domestically, high price levels are expected to dampen consumption. Although domestic soybean production is projected to be lower this year compared to last, a sharp surge in prices appears unlikely as long as the supply of new stock remains steady. In any case, the plant-delivery price for soybean is already hovering above ₹7,000 per quintal.
Plant-Delivery Prices
During the week of October 24–30, plant-delivery prices for soybean fell by ₹100–200 per quintal, settling in the range of ₹7,000–7,200 per quintal. Nationally, the average daily arrival of soybean has risen to 6.75 lakh bags (quintals).
Refined Soybean Oil
Prices for refined soybean oil have declined by ₹2–3 per kilogram, driven by both the drop in soybean prices and a significant influx of relatively cheaper crude soybean oil from abroad. In Haldia, the price of soybean oil fell by ₹15 to ₹1,415 per 10 kg; in Kota and Kandla, it dropped by ₹20 to ₹1,460 and ₹1,410 per 10 kg, respectively; and in Mumbai, it decreased by ₹40 to ₹1,400 per 10 kg.
Soybean Meal (DOC)
Similar to the trends seen in soybean and soybean oil, prices for soybean meal (DOC) have also experienced a sharp decline. In Maharashtra, prices softened by ₹1,000–1,500 per tonne, while at some plants, they declined by ₹2,000–3,500 per tonne. Generally, the price of soy DOC remains above ₹60,000 per tonne.
