Mustard yesterday settled marginal up by 0.14% at 3471 despite as arrivals in physical markets are gradually improving weighing on prices. The Industry estimated 71.5 Lakh tons of mustard seed production this year, will pressurize on the prices in near future. Rape Mustard oil prices are failing to hold onto higher side. The overall scenario in edible oils market in the country is mixed now as traders reassess the supply dynamics after a brief rally in last few days. According to COOIT', the total output of mustard seed in the country is seen at 71.50 lakh tonnes, up 12.70% on the year. As per market sources, restricted supplies by farmers at lower levels along with strong supplies of wheat at higher rates might have reduced the total mustard seed arrivals in all the major producing states. Moreover, strong mustard meal export demand also supports the prices in the near term. The latest data compiled by the Solvent Extractors' Association of India (SEA of India), during April 2013 is reporting exports at 0.54 lakh tonnes compared to 0.45 lakh tonnes in April 2012 i. e. up by 20%. After a steep decline last year, mustard oil production is likely to rise 27% in India this year due to record mustard seed production in the ongoing rabi season. Mustard seed production has been pegged at 70 lakh tonne as against 55 lakh tonne in 2012. Better weather has boosted production in the current oil year (October 2012 to November 2013). Now mustard is getting support at 3458 and below same could see a test of 3445 level, And resistance is now likely to be seen at 3486, a move above could see prices testing 3501.

RMSEED

RM Seed trading range for the day is 3433-3487.

Mustard seed settled flat as arrivals in physical markets are gradually improving weighing on prices.

The Industry estimated 71.5 Lakh tons of mustard seed production this year, will pressurize on the prices.

After a steep decline last year, mustard oil production is likely to rise 27% in India this year due to record mustard seed production.

In the Alwar spot market in Rajasthan the price edged up by 23.2 rupee to 3478.7 rupees per 20 kgs.

BUY RMSEED JULY @ 3490 SL 3470 TGT 3515-3535.NCDEX