Edible oil prices may get relief: Consideration of reduction in cess on import of palm oil

The government is making constant efforts to soften the prices of edible oil and in this direction, the cess on import of crude palm oil can be cut by five percent. If this happens, palm oil prices can fall by up to Rs 2-3 per kg.

Indonesia has halted its exports of palm oil since April 28, raising fears of a global palm oil shortage. Due to this, the price of palm oil in India has increased by up to five percent in the last two weeks and this increase will continue for now.

According to ministry sources, a recommendation has been made by the Consumer Ministry to cut the duty on import of palm oil for relief in the prices of edible oil, which the Finance Ministry can consider. Recently, the agricultural cess on crude palm oil was reduced from 7.5 per cent to five per cent so that consumers can get some relief in the price of edible oil.

According to sources, the government has no other solution than to cut the cess to give relief in the price of edible oil. However, the Consumer Ministry is constantly monitoring the price and stock of edible oil and it is being monitored at the level of senior officers.