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Agricultural commodities daily review: India and other countries (December 06, 2011)

Contributed by Nirmal Bang

By Nirmal Bang

OIL AND OIL SEEDS COMPLEX

MARKET ROUNDUP
Soy oil ended lower by 2.09%. Palm oil ended lower by 0.87%. RM seed Feb ended lower by 1.41%

IN FOCUS
Malaysia's palm oil stocks likely fell to a five-month low in December as a fall in production outpaced a drop in exports, a Reuters survey of seven plantation firms showed on Wednesday.
India's oil meal exports rose to 953,526 tonnes in December, from 765,954 tonnes a year ago, a leading trade body said on Thursday, following stronger demand from traditional buyers in Southeast Asia. Shipments in the first nine months of the year that began in April were at 3.9 million tonnes, up from 3.1 million tonnes in the year-ago period, the Solvent Extractors' Association of India said in a statement.

FUNDAMENTAL OUTLOOK
Outlook for Soybean is seen up for the day. CPO is expected to trade higher.

GUAR, PULSES AND GRAINS COMPLEX

MARKET ROUNDUP
Guar Seed ended lower by 1.06%. Guar Gum ended lower by 1.32%. Chana futures ended higher by 1%.

IN FOCUS
Guar seed futures ended lower on fears that commodities market regulator might intervene to check volatility in the prices and on profit taking after rising for three straight sessions. In the Jodhpur spot market, guar seed fell 22 rupees to 7,457 rupees per 100 kg.
Chana futures in India ended higher on buying by local traders and millers to meet the festival season demand and on a decline in area under pulses cultivation in the on-going Rabi (winter sowing) season. As on Dec. 30, pulses have been sown on 13.85 million hectares as compared with 14 million hectares a year ago, the government data showed. In Delhi spot market Chana rose 32 rupees to 3,423 rupees per 100 kg.

FUNDAMENTAL OUTLOOK
Guar Complex is expected to trade lower for the day. Outlook for Chana is up for the day.

SPICES COMPLEX

MARKET ROUNDUP
Turmeric ended lower by 1.23%. Jeera ended lower by 2.37%. Pepper ended lower by 3.22%.

IN FOCUS
January pepper futures in India hit a new contract low on Thursday, weighed by thin demand from overseas buyers, while traders awaited full-fledged supplies from the new season crop by January-end. Supplies from the new season crop have started arriving in small quantities and are expected to peak by the month-end. In Kochi spot market, pepper prices dropped 565.5 rupees to close at 32,847 rupees per 100 kg.
Turmeric futures snapped a four-day rally on profit-taking, triggered by higher carry-forward stocks and expectations of an increase in supplies in the coming months due to higher production. In Nizamabad, turmeric gained 27.5 rupees to close at 5,224.5 rupees per 100 kg.
Jeera futures fell on profit-taking as traders took advantage of the recent rally in prices. Spot prices at Unjha market ended unchanged at 16,200 rupees per 100 kg.

FUNDAMENTAL OUTLOOK
Outlook for Jeera is sideways to down for the day. Pepper futures to trade higher for the day.