Page 6 - Edible Oil

Edible oil output to be around 11 mn tn in 2021-22: Icra

The total edible oil production stood at 8 mn tonne in FY17, ICRA said in a report

Make it palatable

Import duty structure for edible oil needs correction

Refined edible oil import surges in May

Monthly import of refined edible oil surged last month, to 294,409 tonnes, about 22 per cent of the overall import of 1.03 million tonnes. After a high of 245,554 tonnes in December 2016, refined oil import fell to 196,623 tonnes in January, 20-21 per cent of the entire import of edible oil."Refined edible oil (refined, bleached and diodised or RBD) import into India started increasing thereafter, following export duty levy by the governments of Indonesia and Malaysia, which made import of crude palm oil (CPO) costlier than refined oil," said B V Mehta, executive director of the Solvent Extractors' Association of India. To promote local processing industry, the two governments had levied an export duty of four per cent on RBD and 12 per cent on CPO. With this, the duty differential of 7.5 per cent into India got nullified, making the import of RBD into India eventually cheaper than CPO. The industry, therefore, has urged the government to keep the duty differential between RBD and CPO

Profit margins draw edible oil makers to the premium segment

Premium oils category margins are around 25%, compared with 10% for conventional oils

Edible oil processors upbeat on govt move

The area under palm plantations is likely to increase significantly in the coming years, with the government's relaxation in norms for subsidy and foreign direct investment (FDI), to promote sourcing of vegetable oil from domestic sources.There are only a few large corporate entities involved in palm plantation, due to a long gestation period and the economic value. Normally, the first palm fruit can be obtained only after at least three years of planting. Therefore, only large corporates with deep pockets like Godrej Agrovet and Ruchi Soya Industries have evinced interest.Consequently, the actual plantations have never achieved more than half the area targeted by the government. Automatically, therefore, the release of subsidy never exceeded half the allocation under this category. Dependence on imported vegetable oils (largely crude palm oil) continues to ben 55-60 per cent, on weak domestic investment in palm plantings and harvesting."These far-sighted steps will have benefits ...

Nine years after ban, govt allows export of edible oil in bulk

In an encouraging move, the government of India has allowed exports of select edible oils in bulk effective immediately.In a notification dated Monday, the Director General of Foreign Trade (DGFT) said, "Exports of groundnut oil, sesame oil, soybean oil and maize (corn) oil in bulk, irrespective of any pack size, has been exempted from the prohibition on export of edible oil." This means, nine year old ban on the exports of their exports was lifted from Monday. Until now, exports of select edible oils were allowed only in consumer pack of upto 5 kgs.The move is expected to allow better realisation for oil producers which improve their capability to pay higher prices for oilseeds. Ultimately, better realisation would help farmers bring in additional area resulting into proportionate decline in India's import dependence on edible oil. India meets around 60 per cent of its edible oil demand, to the tune of 24 million tonnes, through imports."It is a welcome move by the government as ...

Edible oil consumers buy cheaper, smaller packs post demonetisation

Consumer behaviour shifts to price consciousness after note-ban

Edible oil tax slab may be revenue-neutral

Edible oil is in the essential commodity category, which attracts the lowest GST rate of 5%

Edible oil refineries plead for help

RBD import rises 74% in Nov'15-Aug'16; to set new record this year

Andhra removes incentives for edible oil refiners at ports

Complains of excess capacity

Edible oil import growth likely slow at 10%

Higher import in previous year would help control prices of cooking oil

Edible oil import bill to rise 15-20%

India's edible oil import bill is likely to rise by 15-20 per cent this oil year (November '15-October '16), on a sharp increase in the price of crude palm oil (CPO) in global markets and a widening supply deficit here.A fall in production from local sources, and a spurt in demand on subdued prices over the past year, has widened the deficit in India. the country imported 14.5 million tonnes of vegetable oil (edible and non-edible) worth Rs 60,000 crore in oil year 2014-15. This is likely to rise to 16 mt worth Rs 75,000 crore by the end of the current oil year in October.The CPO price in November was around 2,100 ringgit a tonne in Malaysia, after declining to a several-years low of 1,800 ringgit a month before. It recovered from this to trade currently at 2,685 ringgit a tonne. From the lowest level, the price is up 49 percent"Considering the average price rise of 10 per cent and a similargrowth in volume of import, India's edible oil import bill will jump by up to 20 per cent this y

Edible oil import bill likely to rise 25% in FY17

Domestic demand rise continues, amid stagnant supply from local sources; prices up 25% since January

Segment shift in edible oil sales

Share of sale in loose form more than halves to 30% in five years from 70% earlier