Mustard seed settled flat as pressure seen due to strong production in the current year along with higher stocks in local mandies. The market sources suggest that the total production of mustard seed in the current year is estimated at 77.32 lakh tonnes against 73.04 lakh tonnes of the previous year on the account of higher sowing acreage in major producing states along with strong yield rates due to better crop conditions. The total production of mustardseed crop of the state is estimated at 37.82 lakh tonnes, up 9.80% from the last year due to favouarble temperature along with adequate facilities of irrigation across all the districts. Similarly, the total production in Gujarat is also estimated at 4.19 lakh tonnes, up 43.12% from the last year. The total carryover stocks of mustard seed in local mandies have been reported at 12-14 lakh tonnes, up 40% from the last year due to strong production in the previous year along with limited crushing of mustard seed at higher levels. Sowing of mustard seed surged to 7.11 million hectares until Jan 31 compared to 6.71 million hectares for the same period year ago, data from Farm Ministry showed. With rise in arrivals and slack demand from the crushers, plant deliveries of mustard for Jaipur line declined. Technically market is under fresh buying as market has witnessed gain in open interest by 1.44% to settled at 61310 while prices up 1 rupee, now Rmseed is getting support at 3293 and below same could see a test of 3287 level, And resistance is now likely to be seen at 3308, a move above could see prices testing 3317.

Trading Ideas:

Rmseed trading range for the day is 3288-3318.

Mustard seed settled flat as pressure seen due to strong production in the current year along with higher stocks in local mandies.

The market sources suggest that the total production of mustard seed in the current year is estimated at 77.32 lakh tonnes.

NCDEX accredited warehouses mustard seed stocks dropped by 10 tonnes to 4118 tonnes.

In the Alwar spot market in Rajasthan the price remains unchanged at0 rupee to 3378.25 rupees per 20kgs.