Indian soybeans hit 6-week peak; soyoil touches 1-month high

Reuters

MUMBAI, Oct 9 (Reuters) - Indian soybean futures rose onWednesday to their highest level in six weeks on tight suppliesin spot markets as heavy rainfall disrupted harvesting of theoilseed.

* Soyoil futures hit a one-month high on good demand andgains in Malaysian palm oil. Rapeseed rose, following gains inedible oil prices.

* Malaysian palm oil futures climbed to their highest infour weeks on Wednesday as investors bet a key industry reportmay show palm stocks and output growth in September were smallerthan initially anticipated.

* "Soybean harvesting is not progressing as perexpectations. The crop is wet in Madhya Pradesh due to rains inthe last one week. Unless it becomes dry, farmers can't hastenharvesting," said Nalini Rao, an analyst at India Infoline Ltd.

* The eastern part of Madhya Pradesh state, the country'stop soybean producer, received 570 percent more rainfall thannormal on Tuesday. The rains are likely to ease in the state inthe next one week, the weather department said on Wednesday.

* At 0822 GMT, the key November soybean contract wasup 0.67 percent at 3,627 rupees ($58.63) per 100 kg on theNational Commodity and Derivatives Exchange. The contractearlier rose to 3,643 rupees, the highest since Aug. 28.

* A weak rupee makes edible oil imports expensive, butraises the returns of oilmeal exporters. The rupee eased onWednesday.

* India could export as much as 5 million tonnes of soymealin the year from Oct. 1, 2013, a rise of about 25 percent on theprevious year, as Asia's top exporter of the animal feed findsstrong demand from Iran and Thailand.

* The key November soyoil contract was 1.05 percenthigher at 696 rupees per 10 kg, after rising to 700 rupeesearlier in the day, the highest level since Sept. 4.

* The rapeseed contract for November edged up 1.28percent to 3,677 rupees per 100 kg.

* In the next few weeks, India will celebrate festivals suchas Dussehra and Diwali, when edible oil consumption typicallyrises.

* At the Indore spot market in Madhya Pradesh, soybeansjumped 40 rupees to 3,586 rupees per 100 kg, while soyoil rose10 rupees to 705.70 rupees per 10 kg. At Jaipur in Rajasthan,rapeseed edged up 24 rupees to 3,688 rupees.

* India's soymeal exports surged to 173,381 tonnes inSeptember from 6,525 tonnes a year ago. ($1 = 61.8650 Indian rupees) (Reporting by Rajendra Jadhav; Editing by Anupama Dwivedi)

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