Commodity Trading Tips for Mustard Seed by KediaCommodity

Ajay Kumar Kedia 9 June 2014

Mustardseed Rmseed settled down -0.61% at 3439 on estimates of higher production of the oilseed in the key growing area across India. Poor demand for Mustardmeal has hurt the sentiments also weighed on prices. Some moderation emerged in the Mustard meal imports after the massive surge witnessed in overseas buying in last few weeks. India's Rapeseed meal exports rose to 1,25,872 tonnes in April this year from 54,077 tonnes in the year-ago period on strong demand from South Korea and Thailand. The acreage under mustard seed stood at 70.35 lakh hectares, up 6%. 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. Rapeseed-mustard including toria crop is estimated at 8% higher to 7.3 million tons in 2013-14 season from 6.8 million tons of last year, data from the Central Organisation for Oil Industry & Trade (COOIT) showed. India 2013-14 rapeseed-mustard production may to 7.6 tons, up 11% on year, data release from the Solvent Extractors Association (SEA) of India showed. In the Alwar spot market in Rajasthan the price gained 12.85 rupee to 3481.25 rupees per 20kgs. Technically market is under long liquidation as market has witnessed drop in open interest by -1.29% to settled at 91400 while prices down -21 rupee, now Rmseed is getting support at 3424 and below same could see a test of 3408 level, And resistance is now likely to be seen at 3460, a move above could see prices testing 3480.