Select edible oils extend gains on rising demand

TIL Desk/Business/New Delhi-An upward trend continued unabated in select edible oils for yet another week at the wholesale oils and oilseeds market on increased buying by vanaspati millers to meet rising demand from retailers, driven by ongoing wedding season against tight stocks position. Castor oil in the non-edible section, also showed some strength on increased offtake by consuming industries.

Traders said, increased buying by vanaspati millers to meet rising demand from retailers, triggered by ongoing wedding season against tight stocks position on fall in supplies from producing belts, mainly kept select edible oil prices higher. Firming global trend also influenced the sentiment, they said. Volume of business remained extremely poor largely due to prevailing cash crunch in the market following the government’s move banning 500 and 1,000 rupee notes last month in a bid to flush out black money.

In the national capital, groundnut mill delivery (Gujarat) oil rose by Rs 100 to Rs 10,200 per quintal, while groundnut solvent refined held steady at Rs 1,750-1,850 per tin. Cottonseed mill delivery (Haryana) oil edged up by Rs 50 to Rs 6,750 per quintal. Tracking firming global trend, palmolein (RBD) and palmolein (Kandla) oils also shot up by Rs 100 each to Rs 6,000 and Rs 6,050 per quintal, respectively.