Ref.Soyaoil on NCDEX settled up by 0.14% at 661.25 tracking firmness in spot demand after prices dropped in last session after the import duty on refined edible oils have been reduced to 15 percent respectively. India 2016-17 edible production may rise 20% on favourable weather condition this year. Domestic edible oil production 2016-2017 is seen at 6.97 million tons compared to 5.82 million tons last year. Edible oil consumption to rise by 6% to 22.15 million tons in the year while imports are expected to increase by nearly 7% to 15.48 million tons compared to 14.58 million tons in the year ago period. U.S. soy processors crushed 2.6 percent fewer beans in August than a year ago and the pace fell below market expectations due to declines at plants in the Southwest, the National Oilseed Processors Association (NOPA) said. NOPA said its members crushed 131.822 million bushels of soybeans in August, down from 143.715 million during July. In August 2015, the NOPA crush was 135.304 million bushels. The import of vegetable oils fell by 8% in August to 12.61 lakh tonnes (LT) due to high stocks of imported cooking oil in the country. According to the data compiled by industry body Solvent Extractors Association of India (SEA), imports of vegetable oils, comprising edible and non-edible oil, stood at 13.74 LT in August 2015. At the Indore spot market in Madhya Pradesh, soyoil was steady at 658.5 rupees per 10 kgs.Technically market is under short covering as market has witnessed drop in open interest by -8% to settled at 56100 while prices up 0.9 rupee, now Ref.Soya oil is getting support at 659 and below same could see a test of 657 level, And resistance is now likely to be seen at 664, a move above could see prices testing 667.

Trading Ideas:

Ref.Soya oil trading range for the day is 657-667.

Ref soyoil gains tracking firmness in spot demand after prices dropped after the import duty on refined edible oils have reduced.

India 2016-17 edible production may rise 20% on favourable weather condition this year.

U.S. soy processors crushed 2.6 percent fewer beans in August than a year ago and the pace fell below market expectations.

At the Indore spot market in Madhya Pradesh, soyoil was steady at 658.5 rupees per 10 kgs.