Government of India is closely monitoring the domestic retail prices of edible oils to ensure that the full benefits of decrease in international prices is passed on to the end consumers. Regular meetings are conducted with leading Edible Oil Associations and industry wherein they are being advised to decrease the retail prices in line with falling international prices.
Further, in order to control and ease the prices of edible oils in the domestic market, the Government of India has taken the following steps:
- The basic duty on Crude Palm Oil, Crude Soyabean Oil and Crude Sunflower Oil was cut from 2.5% to Nil. The Agri-cess on Oils was brought down from 20% to 5%. On 30th December, 2022, this duty structure has been extended upto 31st March, 2024.
- The basic duty on Refined Soybean oil and Refined Sunflower Oil was reduced to 17.5% from 32.5% and the basic duty on Refined Palm Oils was reduced from 17.5% to 12.5% on 21.12.2021. This duty has been extended up to 31st March, 2024.
- The Government has extended the free import of Refined Palm Oils till further orders.
As on 20.07.2023, the international prices of major Edible oils such as Crude Soybean Oil, Crude Sunflower Oil, Crude Palm Oil and Refined Palm Oils have decreased drastically since last year. Due to continuous efforts made by Government, the retail prices of Refined Sunflower Oil, Refined Soybean Oil and RBD Palmolien have decreased by 29.04%, 18.98% and 25.43% respectively over a year.
In the latest initiative taken by the Government, the import duty on Refined Sunflower Oil and Refined Soybean Oil has been reduced from 17.5% to 12.5% with effect from 15.06.2023.