Govt Cuts Edible Oil Import Duties Ahead of Festive Season

New Delhi, Sep 24 (KNN) The Centre has cut import duties on crude and refined palm, soy and sunflower oils, with the changes coming ahead of the festive season.

The basic duty on crude palm oil and crude soy oil has been reduced to 5 per cent from 10 per cent, while the duty on refined palm and soy oil has been cut to 27.5 per cent from 32.5 per cent, Reuters reported.

The basic duty on crude sunflower oil has been reduced to zero from 10 per cent, while the duty on refined sunflower oil has been cut to 22.5 per cent from 32.5 per cent.

Including the Agriculture Infrastructure and Development Cess and Social Welfare Surcharge, the total import duty on crude palm and soy oil will fall to 11 per cent from 16.5 per cent. The total duty on crude sunflower oil will decline to 5.5 per cent from 16.5 per cent.

India meets nearly two-thirds of its vegetable oil demand through imports, mainly palm, soy and sunflower oil sourced from countries including Malaysia, Indonesia, Argentina, Russia and Ukraine.

Industry representatives said the duty cuts could encourage refiners to increase imports to meet festive-season demand. Sunflower oil is expected to benefit significantly from the reduction, potentially making it more competitive with palm and soy oil.

(KNN Bureau)