16/11/2011 (Hindu Business Line) - Bull run continued in edible oils on Tuesday despite lack of of demand. Resellers were active on profit taking and ready to sell palmolein was Rs 10-12 lower than refineries rates.

On the Bombay commodity exchange, palmolein extended gain further by Rs 12 taking the total jump to Rs 34 for 10 kg in just five days, ignoring lower closing of Malaysian palm oil futures.

In domestic market, wide price gap between producers and resellers arrested buying mood. Soya refined oil increased by Rs 4, cotton refined oil rose by Rs 2 and rapeseed oil shot up by Rs 9 on firm sentiment. Groundnut oil and sunflower oil ruled steady.

Sources said local refineries have increased the rates for palmolein by Rs 17-18 for 10 kg in start of the day in line with firm foreign markets and considering higher import costs due to weakening rupee. Volume was need based in physical market with about 50-60 tonnes of palmolein was traded in the resale market at Rs 556–558.

Resellers were quoting palmolein at Rs 555-556. Liberty's rates for palmolein was Rs 580-582 for November, super palmolein Rs 600 and soya refined oil Rs 615. Ruchi was last quoting palmolein at Rs 565 , soya refined oil at Rs 615 and sunflower refined oil Rs 677. Allana's Palmolein was Rs 571 for November. In Saurashtra and Rajkot groundnut oil ruled steady at Rs 1,270 for telia tin and Rs 825 for loose (10 kg), and late evening it was quoting Rs 800.

Malaysia's crude palm December contracts settled lower at MYR3,184 (MYR3,208), January at MYR3,176 (MYR3,195), February at MYR3,178 (MYR3,194) and March at MRY3,178 (MYR3,193) a tonne. Soya oil for December futures closed at Rs 633 (Rs 628.70) while January rose to Rs 637 (Rs 635.40) on National Board of Trade in Indore.

Bombay Commodity Exchange spot rates (Rs/10 kg): groundnut oil 840 (840), soya refined oil 614 (610), sunflower exp. ref. 625 (625), sunflower ref. 685 (685), rapeseed ref. oil 712 (703), rapeseed expeller ref. 682 (673), cotton ref. oil 605 (603) and palmolein 564 (552).