Wait...
  1. Home >
  2. Export Import News >
  3. Export News >
  4. Traders lose some soyabean export contracts as rupee appreciates >
  5. Traders lose some soyabean export contracts as rupee appreciates

Online Export Import Data Search

Recent Searches: No Recent Searches
Complete Training Video : Click Here

Traders lose some soyabean export contracts as rupee appreciates.


Date: 28-12-2018
Subject: Traders lose some soyabean export contracts as rupee appreciates
Soyabean export contracts over 1 lakh tonne have been cancelled from India on account of the appreciation of the rupee, top industry officials said. The impact, however, has been offset to some extent by exports to Iran between April to November 2018.

According to Davish Jain, president, Soybean Processors Association of India (SOPA), the appreciation of the rupee caused a sudden flux in the pricing of soyabean in the international market which led to the cancellation of contracts.

The rupee, which was trading at 74 per dollar a few months ago, has risen to 70, making it difficult for Indian traders to match up to overseas markets, he pointed out.

The current exchange rate and higher prices are unfavourable for overseas countries to import from India, he said, adding that Indian soyameal is costlier by $100 a tonne. When the rupee was weak, gains were 4-5 % for the traders, but with strengthening of the rupee, Indian exporters have lost the advantage, he said.

Moreover, the expectation that China would import soyabean from India against the backdrop of trade tensions with the US, has not really worked because of the lengthy procedures involved. “We understand from ministry of commerce/Export Inspection Council of India that China will resume import of rapeseed meal from India. Those five units already approved by General Administration of Customs of the People’s Republic of China, GACC (formerly AQSIQ) will be able to resume the export of rapeseed meal to China once their registration with Chinese ministry of agriculture (MoA) is done.

It is a cumbersome process and takes a long time. In case of resumption of export of soyabean meal from India to China, it may take some more time as Chinese GACC team is likely to visit during current month to inspect/approve the units.

Prior to the ban in 2012, China used to import nearly half a million tonne of oilmeals (rapeseed meal 3.5 to 4.0 lakh tonne and 1.0 lakh tonne of soybean meal) from India,” BV Mehta, executive director, SEA, had said. Although the team has visited these units last week, the procedure is expected to be slow, officials pointed out.

Senior officials pointed out that the Chinese government has asked the Indian government for a draft of protocol for Indian soyabean meal. According to the Solvent Extractors Association, the Iranian market has opened up for Indian soyabean meal. During current year, from April to November 2018, about 2 lakh tonne of soyabean meal was shipped as against last year’s figure of 23,000 tonne. During April-November 2018, Vietnam imported 355,688 tonne of oilmeals (compared to 321,803 tonne) consisting of 20,573 tonne of soyabean meal, 123,183 tonne of rapeseed meal and 211,719 tonne of rice bran extraction.

According to SEA, prior to the ban in 2012, China used to import nearly half a million tonne of oilmeals — rapeseed meal 3.5-4 lakh tonne, and 1 lakh tonne of soybean meal — from India.

In the domestic market, soyabean prices have mostly stayed below the minimum support price (MSP) since harvest began from mid-October, and have started moving upwards only after Diwali. Including bonus of Rs 200 per quintal, the government has increased the MSP of soyabean by 11.5% to Rs 3,399 per quintal in 2018-19 from Rs 3,050 per quintal in 2017-18.

Davish Jain pointed out that at present the soyabean arrivals in Maharashtra are weak but had picked up in Madhya Pradesh. Average soyabean prices are currently ruling at Rs 3,400/quintal. As per the SOPA projections for 2018-19, soyabean supply in the country will hover around 118 lakh tonne, including 115 lakh tonne of production, 15 lakh tonne of carryover stock, and about two lakh tonne of imports. SOPA estimates export of soyabean at about 3 lakh tonne and soyabean meals at about 25 lakh tonne.


Source: financialexpress.com

Get Sample Now

Which service(s) are you interested in?
 Export Data
 Import Data
 Both
 Buyers
 Suppliers
 Both
OR
 Exim Help
+


What is New?

Date: 13-12-2019
Notification No. 68/2019 – Central Tax
Seeks to carry out changes in the CGST Rules, 2017.

Date: 13-12-2019
Notification No. 69/2019 – Central Tax
Seeks to notify the common portal for the purpose of e-invoice.

Date: 13-12-2019
Notification No. 70/2019 – Central Tax
Seeks to notify the class of registered person required to issue e-invoice.

Date: 13-12-2019
Notification No. 71/2019 – Central Tax
Seeks to give effect to the provisions of rule 46 of the CGST Rules, 2017.

Date: 13-12-2019
Notification No. 72/2019 – Central Tax
Seeks to notify the class of registered person required to issue invoice having QR Code.

Date: 13-12-2019
Notification No. 90/2019-CUSTOMS (N.T.)
Tariff Notification in respect of Fixation of Tariff Value of Edible Oils, Brass Scrap, Poppy Seed, Areca nut, Gold & Silver - reg.

Date: 12-12-2019
TRADE NOTICE No. 41/2019-20
Online filling and Issuance of Preferential Certificate of Origin under SAFTA and SAPTA for India's Exports to Nepal w.e.f. 18th December 2019

Date: 12-12-2019
Notification No. 35/2015-2020
Amendment in Para 2.25 of Foreign Trade Policy, 2015-20.

Date: 12-12-2019
Notification No. 63/2019 – Central Tax
Seeks to extend the due date for furnishing of return in FORM GSTR-1 for registered persons in Jammu and Kashmir having aggregate turnover more than 1.5 crore rupees for the months of July, 2019 to September, 2019

Date: 12-12-2019
Notification No. 64/2019 – Central Tax
Seeks to extend the due date for furnishing of return in FORM GSTR-1 for registered persons in Jammu and Kashmir having aggregate turnover more than 1.5 crore rupees for the month of October, 2019.



Exim Guru Copyright © 1999-2019 Exim Guru. All Rights Reserved.
The information presented on the site is believed to be accurate. However, InfodriveIndia takes no legal responsibilities for the validity of the information.
Please read our Terms of Use and Privacy Policy before you use this Export Import Data Directory.

EximGuru.com

C/o Infodrive India
E-2, 3rd Floor, Kalkaji Main Road
New Delhi - 110019, India
Phone : 011 - 40703001