MUMBAI (Dow Jones)-- Indian edible oil prices fell in the week ended Friday
on higher supply in local markets, said traders.

  "Farmers are now offloading more stocks ahead of the arrival of new rapeseed
crop, which may bring down prices further," said a trader based in Indore, a
large trading hub in the central state of Madhya Pradesh.

  Daily arrivals of the new soybean crop increased to 150,000-200,000 bags of
100 kilograms each in Madhya Pradesh, the country's main growing province, from
100,000-150,000 bags a week ago, he said.

  The total area under oilseeds in the Oct.1-Jan.29 period rose to 9.38 million
hectares from 8.86 million hectares a year ago, the government said Friday.

  India's rapeseed acreage rose to 6.64 million hectares from 5.9 million
hectares a year ago.

  Meanwhile, the government also hiked minimum support price of rapeseed by
INR300 a metric ton to INR18,600/ton. However, the hike in price was below
industry expectations of INR1,500/ton, depressing sentiment in the market.

  Higher imports of edible oil was also dampening prices, said another trader.

  This week, three state-run trading companies have floated tenders to import
around 45,000 tons of crude palm oil and refined, bleached, and deodorized palm
olein for shipment in February-April.

  India's edible oil imports in December nearly tripled to 719,125 tons from a
year earlier.

  Edible oil imports during the first two months of the oil year that started
Nov. 1 have nearly doubled to 1.24 million tons from 624,102 tons a year ago,
data from the Solvent Extractors' Association showed.

  India imports nearly half of its vegetable oil requirements of 12 million
tons, and imports palm oil from Malaysia and Indonesia, and soyoil from Brazil
and Argentina.

  Prices of refined soyoil fell to INR46,500 from last week's price of
INR48,000/ton, while crude palm oil was at INR27,200/ton, down from
INR27,800/ton.

  Refined, bleached and deodorized palm olein prices declined to INR32,100 from
INR33,500/ton a week ago.