New Delhi: India has an optimum stock of all edible oils and the present stock of all edible oils in the country is 21 lakh tons and 12 lakh tons is in transit, which will arrive this month, the government said on Sunday. Quoting the industry sources, the Centre said the country has sufficient to cover the lean period due to the ban on export by Indonesia.
The world’s largest producer Indonesia last month announced a ban on export of palm oil and last week the country clarified that the ban also includes a ban on export of crude palm oil, imported by countries like India.
Palm oil accounts for 2/3rd of India’s edible oil imports
Palm oil, which includes both crude and refined palm oil, constitutes roughly around 62% of the total edible oils imported mostly from Indonesia and Malaysia. While Soybean oil, which accounts for 22% of India’s total edible oil imports, is imported from Argentina and Brazil and Sunflower oil, which accounts for 15% of the country’s edible oil imports, is mainly imported mainly from Ukraine and Russia. Officials in the ministry of commerce and industry said that international prices of edible oils are under pressure due to a shortfall in global production and increase in export tax and levies by the exporting countries.
Oilseed production set to be higher this year
India is one of the largest producers of oilseeds in the world and this sector occupies an important position in the agricultural economy, accounting for the estimated production of 37.14 million tons of nine cultivated oilseeds during the year 2021-22 as per the 2nd Advance Estimates released by the Department of Agriculture and Farmers Welfare.
Experts have expressed apprehensions that a total ban on export of Indonesian palm oil will adversely impact the availability and prices of edible oils in the country. Allaying the fears, officials said a close watch is being kept on day to day basis on prices of Edible oils so that appropriate measures can be taken to keep a check on the prices of edible oil for ensuring that the prices remain stable and interest of consumers are protected.
Weekly monitoring of edible oil prices, availability
The Inter-Ministerial Committee meeting, which is chaired by the food secretary and holds weekly meetings, is closely monitoring the prices and availability of agricultural commodities including edible oil keeping in view the interest of the farmers, industry and consumers. The committee reviews the price situation on a weekly basis and considers relevant measures in relation to edible oils and other food items depending on the domestic production, demand, domestic and international prices and international trade volumes, said officials.
According to officials, special teams have also been constituted by both Central and states to prevent hoarding and profiteering under the Essential Commodities Act. These surprise checks shall continue to check unscrupulous elements. Talking about the increased production of Soyabean, another important source of edible oils in the country, the officials said that production for the year 20221-22 at 126.10 lakh tons, which is higher than last year’s production at around 112 lakh tons. In yet another relief, the sowing of mustard seeds has registered an increase of area by 37% in all major producing states.
READ: Indonesia’s palm oil export ban puts half of India’s supply under cloud
