Tue Dec 8, 2009 5:25am IST
MUMBAI, Dec 7 (Reuters) - India's soybean futures dropped on Monday, tracking a weak spot market, where oil millers were not buying actively due to subdued oilmeal exports, analysts said.
"Oil meal exports fell sharply in November. Millers are not ready to buy soybean at higher level. There is no parity in soybean and soymeal prices," said Mehul Agrawal, an analyst with Sharekhan Commodities.
Soybean is crushed to produce soymeal and soyoil.
India's oilmeal exports halved to 346,859 tonnes in November, its first monthly fall in three months, as soymeal prices rose following a poor oilseed crop and as shipments to Vietnam, Japan and China fell, a trade body said on Friday. See [ID:nDEL459269]
The January soybean contract NSBF0 on the National Commodity and Derivatives Exchange ended down 0.68 percent at 2,471 rupees per 100 kg.
Lower output estimates and thin arrivals kept the downside limited, analysts said.
The Central Organisation for Oil Industry and Trade said India's output of summer-sown oilseeds fell 12.5 percent to 13.1 million tonnes in the crop year that began in July 2009, mainly due to lower groundnut and soybean production.
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