20/07/2012 (Hindu Business Line) - Edible oils bounced back on Thursday, tracking the sharp rise in Malaysian palm oil futures and a bullish US soya oil.

Malaysian crude palm oil futures rebounded from a three-week low, as the worst drought in the US threatens to squeeze global oilseed supplies further. Local refiners have increased prices of palmolein and soya oil following firm foreign markets. Palmolein rose by Rs 2 for 10 kg.

Groundnut oil declined by Rs 5, tracking a weak Saurashtra market. Soya refined and rapeseed oil dropped by Rs 3 for 10 kg each. Sunflower and cottonseed refined oil ruled steady. Stockists placed new bets and covered about 1,200-1,300 tonnes of palmolein directly from local refineries at Rs 618-623. One refinery sold about 80-100 tonnes of super palmolein at Rs 670 and another sold 350-400 tonnes of soyabean refined oil at Rs 755. About 100-150 tonnes of palmolein was traded in the resale market at Rs 613-614. After buying sufficient volume, local refiners increased prices of palm and soya oil by Rs 2-4.Liberty quoted palmolein at Rs 624-625, super palmolein at Rs 674, soya oil at Rs 765 and sunflower refined oil at Rs 765. Ruchi quoted palmolein at Rs 620-625 for August; soya refined oil at Rs 757 for July and at Rs 760-763 for August; and sunflower refined oil at Rs 757 for July and at Rs 760-763 for August. Allana offered palmolein at was Rs 619. In Saurashtra and Rajkot, groundnut oil declined by Rs 10 each to Rs 1,840 for a telia tin and to Rs 1,210 for loose (10 kg).

Buoyed by contracts hitting a record high of $17.11 a bushel (August) on the Chicago Board of Trade (CBOT), soyabean futures on the domestic commodity exchanges hit the circuit. On National Board of Trade in Indore, soya refined oil for August delivery closed at Rs 809.20 (Rs 795.30) and for September at Rs 812.50 (Rs 803). Malaysia’s crude palm oil’s August contracts settled higher at MYR3,025 (MYR2,970), September at MYR3,040 (MYR2,982) and October at MYR3,045 (MYR2,993) a tonne.

The Bombay Commodity Exchange spot rates (Rs/10 kg): groundnut oil 1,185 (1,190), soya refined oil 752 (755), sunflower exp. ref. 700 (700), sunflower ref. 760 (760), rapeseed ref. oil 872 (875), rapeseed expeller ref. 842 (845) cottonseed ref. oil 745 (745) and palmolein 615 (613).