16/03/2012 (Hindu Business Line) - Imported palmolein and soya oil improved by Rs 2 and Rs 3 for 10 kg on Thursday on improved buying interest from stockist ahead of the Union Budget. A wholesaler said market was firm on expectation that import duty would be increased in the Budget on Friday.

Expectation of changes in import duty and tariff structure pushed up new buying. Malaysian crude palm oil futures extended gains, supported by higher exports and physical buying interest. Groundnut oil rose by Rs 10, rapeseed oil by Rs 5 and cottonseed refined oil by Rs 2 for 10 kg.

Volume increased on improved retail demand. Local refiners increased prices of imported oils by Rs 3-5 for 10 kg. Indigenous cottonseed, rapeseed and sunflower seed oils also rose on firm reports from the producing centres. Local refiners sold about 450-500 tonnes of palmolein at Rs 586-588, while resellers traded 150-200 tonnes at Rs 585-588. Liberty offered palmolein at Rs 595-596. Ruchi quoted it at Rs 593, soya refined oil at Rs 690 and sunflower seed refined oil at Rs 697. Allana offered palmolein at Rs 595. In Saurashtra, groundnut oil dropped by Rs 25 on eased demand from exporters for nuts and as improved arrivals in the southern states led to heavy sales. In Rajkot, groundnut oil was down to Rs 1,790 (Rs 1,815) for a telia tin and to Rs 1,165 (Rs 1,180) for loose (10 kg).

Malaysian crude palm oil's April contract settled higher at 3,393 ringgit (3,380 ringgit), May at 3,403 ringgit (3,385 ringgit) and June at 3,397 ringgit (3,378 ringgit) a tonne. On the National Board of Trade in Indore, soya refined oil for March delivery closed at Rs 723 (Rs 724) and for April at Rs 737 (Rs 731).

Bombay Commodity Exchange spot rates (Rs/10 kg): groundnut oil 1,170 (1,160), soya refined oil 685 (682), sunflower seed exp. ref. 640 (640), sunflower seed ref. 705 (700), rapeseed ref. oil 805 (800), rapeseed expeller ref. 775 (770) cottonseed ref. oil 662 (660) and palmolein 584 (582).