22/10/2012 (Hindu Business Line) - The edible oils market made further gains on Friday. Limited supply in ready and positive reports from the global marketskept sentiment firm in domestic market.

Improved demand ahead of Dasara – Diwali pushed up groundnut oil by Rs 10 and cotton refined oil by Rs 8 each for 10 kg. Imported palmolein and soya oil increased further by Rs 2 and Rs 3 each. Sunflower oil and rapeseed oil went up by Rs 5 each.

Higher closing of Malaysian palm oil futures on second consecutive day and weak domestic currency pushed prices higher in local market, said an observer.

Shailesh Kataria of Riddhi Brokers told Business Line “firm reports from producing centres and bullish global – domestic futures markets kept buyers active during the day. Stockists continued building up inventory buying ahead of festival season. Being cheaper, more than 3,500 tonnes of palmolein were traded during the day for ready and forward delivery on expectation of higher demand coming days”.

According to him, on the back of fresh demand Liberty sold about 1,200-1,400 tonnes of palmolein for Oct 20-Nov 20 were traded at Rs 518-521, Ruchi sold 1,800-2,000 tonnes at Rs 515 . About 150-200 tonnes were resale traded at Rs 519-520 for ready delivery.

In Saurashtra – Rajkot, groundnut oil Telia tin shot up by Rs 40 to Rs 1,765 and loose 10 kg up by Rs 25 to Rs 1,150.

Towards the day’s close, Liberty was quoting palmolein at Rs 518-521 and super palmolein Rs 578 for Oct 20-Nov 20, soya refined oil Rs 668 for week-to-week. Ruchi quoted palmolein at Rs 515, super palmolein Rs 576. Soya refined oil was Rs 671 and sunflower refined oil Rs 715. Allana’s rate for super palmolein was Rs 578.

On the National Commodities and Derivatives Exchange, soyabean refined oil November futures was up by Rs 7.45 to Rs 675.95 , December increased by Rs 8.50 to Rs 675.40 and January was up by Rs 8.50 to Rs 680.35 .

Malaysia's crude palm oil November futures settled higher at MYR 2,404 (2,396), December at MYR 2,475 (2,456) and January at MYR 2,501 (2,496) a tonne.

The Bombay Commodity Exchange spot rates were (Rs/10 kg): groundnut oil 1,140 (1,130), soya refined oil 668 (665), sunflower exp. ref. 655 (650), sunflower ref. 715 (710), rapeseed ref. oil 840 (835), rapeseed expeller ref. 810 (805) cotton ref. oil 670 (662) and palmolein 520 (518).