Solvent extractors’ body to reduce prices of edible oils

The record crop augurs well for consumers and will go a long way in reducing the dependence on imports, which has reached almost 65% of India’s consumption, he said.

Members of the Solvent Extractors’ Association of India (SEA) have decided to reduce prices of edible oils by Rs 3,000 to Rs 5,000 per tonne ahead of the Diwali festivities.

SEA president Atul Chaturvedi said in a statement the association has urged members producing or marketing edible oils to voluntarily reduce the wholesale price of edible oils by at least Rs 3,000 to Rs 5,000 per tonne (Rs 3 to Rs 5 per kg) during the festive season to provide some relief to consumers.

Although SEA members are saddled with high duty paid stocks, they are responding to the needs of consumers, he said.

During the last few months, edible oil prices had skyrocketed and were showing no signs of moderation. The government reduced import duties in the second week of October, which has helped control runaway prices and is now reflected in the domestic wholesale bulk prices, Chaturvedi said.

The price of palmolein oil, which was Rs 127 per kg on October 10, came down to Rs 119 per litre on October 30. The price of refined soya oil came down to Rs 125 per litre from Rs 134 per litre, while that of refined sunflower oil fell to Rs 128 per litre from Rs 142 per litre.

Chaturvedi said the domestic soybean and groundnut crops are rebounding this year. The soya crop is likely to be closer to 120 lakh tonne and groundnut crop maybe approximately 80 lakh tonne. Harvesting and marketing is in full swing and is putting pressure on the domestic oilseed and oil prices.

The record crop augurs well for consumers and will go a long way in reducing the dependence on imports, which has reached almost 65% of India’s consumption, he said.

Besides good kharif oilseed crop, sowing reports coming in for mustard are also positive. The planting numbers could be at an all-time high, and could yield 120 lakh tonne if nothing unforeseen happens till the harvest, Chaturvedi said.