MUMBAI, Sept 11 (Reuters) - Indian oilseed and soyoil futures edged higher on Wednesday on good demand for edible oils due to the ongoing festive season, though a strong rupee and rising supplies of soybeans in spot markets capped the upside.
* “The deprecation of the rupee was one of the key reasons behind the rally in oilseeds. Now, since the rupee is recovering, oilseeds, edible oils are bound to correct accordingly,” said Prerna Sharma, an analyst at Emkay Commotrade Ltd.
* A strong rupee makes edible oil imports cheaper, but trims returns of oilmeal exporters. The Indian rupee extended gains to a fifth session on Wednesday as easing geopolitical tensions in Syria led to the cooling of global crude oil prices.
* At 0717 GMT, the key October soybean contract was up 0.61 percent at 3,380 rupees per 100 kg on the National Commodity and Derivatives Exchange.
* The key October soyoil contract rose 0.48 percent to 659.60 rupees per 10 kg, while the rapeseed contract for October edged up 0.26 percent to 3,490 rupees per 100 kg.
* India has sold 350,000 tonnes to 400,000 tonnes of new-crop soymeal for shipment between October and December on prospects of higher soybean production and a weak rupee, an industry official said last month.
* India’s soymeal exports in August rose about three quarters from a month earlier as a weak rupee made shipments more competitive and demand from Europe picked up.
* Soybean supplies have started from new season crop and they will rise gradually in coming days, putting further pressure on prices, Sharma said.
* At the Indore spot market in Madhya Pradesh soybeans eased 5 rupees to 3,517 rupees per 100 kg. (Reporting by Rajendra Jadhav; Editing by Jijo Jacob)