Mustard Complex – Weekly Report

Date: 05 May 2025

Source: Advisory Bazaar Info Services

1. Mustard Seed

• Prices remained largely stable throughout the past week.

• Weakness in palm and other edible oils exerted pressure on mustard oil.

• Sluggish demand for mustard meal kept prices range-bound.

• Outlook: Compared to last year-end April, mustard stocks are down 11.5%. Market arrivals are limited, keeping downside in prices restricted. Overall, mills are buying cautiously at lower levels while farmers are selling less.

2. Mustard Meal (Khal)

• Demand is average, resulting in mostly steady prices.

• Previously, strong demand from China and other countries supported the uptrend.

• However, demand slowed down in April, capping further gains.

• Price View: Not expecting a fall of more than ₹50–100/quintal from current levels.

• Advice: Buy on dips for medium-term gains.

3. Mustard Oil

• Weakness in soya and palm oil has weighed on mustard oil.

• Jaipur Kacchi Ghani rose ₹1/kg to trade above ₹1300.

• ₹1250 is a strong support level.

• Outlook: Not expecting more than ₹3–4/kg downside from current levels.

• Trading Strategy: Traders should buy as per need and consider stocking for future months if prices dip ₹3–4/kg.

4. Overall Outlook

• Mills are active at lower prices while farmer selling remains subdued.

• Government procurement is low as farmers are getting better prices in open markets.

• Seasonal Trend: Historically, prices stay range-bound during April–May, followed by recovery from late May to July.

• Long-Term View: Fundamentals remain strong. However, until international edible oil markets recover, mustard is expected to trade within a limited range.

Investment/Trade Advice:

• Buy on price dips.

• Long-term outlook remains positive.

• Keep an eye on global edible oil trends for further cues.