Mustard Seed settled down by -0.94% at 4320 tracking weakness in spot demand and weak export demand. Rapeseed meal exports from India slipped 55.69% on year to 49,788 tons in August on weak demand from South Korea, Iran and Thailand, data released from Solvent Extractors Association of India (SEA) showed. Mustard seed prices were also up on supply worries mustard seed arrivals in the country declined in last week and was in the range of 70,000 bags to 85,0000 bags. Rajasthan, the largest producer received 35,000 bags, Madhya Pradesh and other states have received 8,000 bags, Uttar Pradesh 8,000 bags and others 4,000 bags. According to latest USDA report, global rapeseed production forecast to decline to 64.6 mt in 2015/16 from 71.8 mt last year on lower crop estimates from Canada, the EU, Australia, and Ukraine. This production loss may halve the rapeseed inventories. Global rapeseed ending stocks may drop to a 12-year low at 3.4 mt in 2015/16. China rapeseed imports for 2015/16 are seen declining to 3.3 million tons from 4.5 million in 2014/15. Imports of rapeseed oil by China are also likely to be discouraged next year. On the global front the USDA now expects 2015/16 global rapeseed production down 2.6 million tons to 64.6 million. Crop reductions for Canada, the EU, Australia, and Ukraine comprise all of the change. In the Alwar spot market in Rajasthan the price remains unchanged at0 rupee to 4513.3 rupees per 100kgs.Technically market is under fresh selling as market has witnessed gain in open interest by 4.88% to settled at 72400 while prices down -41 rupee, now Rmseed is getting support at 4300 and below same could see a test of 4279 level, And resistance is now likely to be seen at 4353, a move above could see prices testing 4385.

Trading Ideas:

Rmseed trading range for the day is 4279-4385.

Mustard seed prices ended with losses tracking weakness in spot demand and weak export demand.

Rapeseed meal exports from India slipped 55.69% on year to 49,788 tons in August on weak demand from South Korea, Iran and Thailand.

NCDEX accredited warehouses mustard seed stocks dropped by 201 tonnes to 61831 tonnes.

In the Alwar spot market in Rajasthan the price remains unchanged at0 rupee to 4513.3 rupees per 100kgs.