06/01/2012 (Hindu Business Line) - Though palmolein supplies remain tight on the spot market, edible oils turned bearish on Thursday as stockists refrained from placing new orders. Besides, palm oil dropped on the futures market here and in Malaysia as investors booked profits.

Palmolein, sunflower expeller refined and rapeseed refined oil declined by Rs 5 each, cotton refined oil by Rs 7 and soya refined oil by Rs 10 for 10 kg each. Local soya oil futures have lost more than Rs 22 for 10 kg in the last two days. In contrast, groundnut oil continued to rise by Rs 5 in absence of sales. Crude palm oil (CPO) futures closed lower on the Bursa Malaysia Derivatives (BMD) Exchange on profit-booking amid broad weakness in equities and commodities due to renewed worries over the euro-zone sovereign-debt crisis. Weak projections for the Chicago market also weighed on the market sentiment.

Resellers offered palmolein at Rs 607-608. Liberty quoted palmolein at Rs 612 for January and at Rs 610-611 for February delivery, and super palmolein at Rs 635. Ruchi offered palmolein at Rs 607. Allana quoted palmolein at Rs 607. In Saurashtra and Rajkot, cotton oil was quoted at Rs 647-648 and groundnut oil at Rs 1,610 (Rs 1,610) for a telia tin and at Rs 1,050 (Rs 1,050) for loose (10 kg).

Malaysia's BMD CPO's January contracts settled at MYR3,200 (MYR3,223), February at MYR3,200 (MYR3,223) and March at MYR3,190 (MYR3,225) a tonne. Soya oil for January delivery dropped to Rs 742.70 (Rs 752) and for February to Rs 732 (Rs 738) on the National Board of Trade in Indore.

Bombay Commodity Exchange spot rates (Rs/10 kg): groundnut oil — 1,020 (1,015), soya refined oil — 705 (715), sunflower exp. ref. — 665 (670), sunflower ref. — 735 (735), rapeseed ref. oil — 840 (845), rapeseed expeller ref. — 810 (815), cotton ref. oil — 668 (675), and palmolein — 608 (613).