|
JAIPUR (Commoditiescontrol) - Cotton seed oilcake surged by Rs 200-250 per quintal during last one and half month. The oilcake is widely used as cattle feed. Cotton seed oilcake may contract touched at Rs. 1825 per quintal in NCDEX on 29 April. The contract touched Rs. 1843 at high and Rs. 1788 per quintal at low level. However, cotton seed oilcake June contract was moving in a range of Rs. 1,893 and Rs. 1,882 per quintal.
Cotton seed oilcake has gained by the prediction of weak monsoon and lower sowing of fodder in Gujarat grown in summer. Green fodder was sown in 2.52 lakh hectare (ha) till 21 April in Gujarat, which is lower than 3 lakh ha. last year. The sowing declined around 19 percent.
Indian Meteorological Department (IMD) has predicted weak monsoon during next season which will begin in June and end in September. According to the estimate of IMD, monsoon rain may reduce to 93 percent of long term average rain in the country. Cotton sowing may reduce in next season due to poor rain. So, decline in production of cotton seed oilcake in next season 2015-16 cannot be ruled out. Additionally, International Cotton Advisory (ICA) has projected lower cotton acreage in next season. According to the report, cotton acreage may reduce 5 percent to 116 lakh hectare in India. Cotton was sown in 126-127 lakh ha. in current season in the country.
Cotton seed oilcake (Jalgoan line) is being traded at Rs. 1850-1920 per quintal which gained Rs. 200-250 per quintal in last one and half month. It was traded at Rs. 1100-1130 per 60 kg. in Gujarat which has surged Rs. 130-170. The traders say that there will be no surprise if cotton seed oilcake would touch Rs. 2100 per quintal.
Primarily, cotton seed oilcake is used as fodder for milk giving animal. Milk price fell down from Rs. 29 to Rs. 16 per liter so it will be unviable for farmers to use cotton seed oilcake. They can prefer bran, Toor Churi and other alternates.
Milk prices reduced drastically due to lowering of milk powder demand from export market. A number of plant purchase milk in large quantity. They use 80 percent milk for powder and rest 20 percent for packaging of milk. In the recent month, milk powder demand reduced in international markets.
Cotton seed oilcake demand is feeling pressure due to high prices but the prices may touch Rs. 2100 per quintal in futures due to heavy speculation. However, investors should come for profit booking because farmers can opt alternate fodder for cost viability.
(By Commoditiescontrol Bureau; +91-22-61391533)
|
0 Comments 
Post Comment 
