Mustard seed futures scaled new contract highs in today's trading due to fragile sowing progress of kharif oilseeds along with waning crop prospects for the coming season. The NCDEX futures spurted by almost Rs 80 per quintal in today's trading.
As per latest release from Ministry of Agriculture , the total sowing acreage of kharif oilseeds was reported at 17.7 million tonnes , down 12.58 lakh hectares from the last year in the same period. This was mainly due to poor sowing acreage in Gujarat , Andhra Pradesh and Madhya Pradesh.
Moreover, poor rainfall condition in major mustard seed producing states such as Rajasthan, Gujarat and Uttar Pradesh during the monsoon season might reduce the moisture from the soil and this might also reduce the overall productivity in the coming season.
Consequently, the NCDEX August futures spurted by almost Rs 80 per quintal to scale new contract of Rs 4470 per quintal in today's trading.
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