Rmseed settled up 1.22% at 3563 on receding supplies in domestic market. The rapeseed meal export demand from South East Asia supported the surge in prices. Traders and stockists are building inventories on account of expected decline in production than earlier expected. The arrivals in Rajasthan mandi were in the range of 2.1 - 2.4 lakh bags of 85 Kg each. According to latest data from the Solvent Extractor's Association (SEA), the acreage under oilseeds stood at 86.22 lakh hectares, up 4.20%. The acreage under mustard seed stood at 70.35 lakh hectares, up 6%. Latest rabi sowing data from the government shows that acreage under oilseeds stood at 90.07 lakh hectares, up more than 3% compared to the last year. As per the latest crop survey by SEA of India, India's total mustard seed crop in 2013-14 is estimated at 74.40 lakh tonnes against 67 lakh tonnes of last year. This is mainly due to higher crop estimates in Rajasthan and Gujarat. As per the second advance estimates of Indian government, the total mustard seed production in 2013-14 is estimated at 8.25 million tonnes against 8.03 million tonnes due to higher sowing acreage. In the Alwar spot market in Rajasthan the price gained 28.3 rupee to 3507 rupees per 20kgs. Technically market is under fresh buying as market has witnessed gain in open interest by 4.47% to settled at 142130, now Rmseed is getting support at 3532 and below same could see a test of 3505 level, And resistance is now likely to be seen at 3577, a move above could see prices testing 3595.

Trading Ideas:

Rmseed trading range for the day is 3506-3596.

Mustard seed ended with gains on receding supplies in domestic market.

Traders and stockists are building inventories on account of expected decline in production than earlier expected.

NCDEX accredited warehouses mustard seed stocks gained by 3663 tonnes to 76253 tonnes.

In the Alwar spot market in Rajasthan the price gained 28.3 rupee to 3507 rupees per 20kgs.