Government is considering increasing import duty on soy oil to restrict the fall in domestic prices. Imports of refined edible soft oils and crude edible soft oils attract 20% and 12.5% duties, respectively. “Final decision on it would be taken by the committee headed by the Cabinet Secretary soon. An inter-ministerial committee headed by Finance Minister Arun Jaitley had met on Thursday to discuss ways to curb rising imports of edible oils, especially palm oils, soyoil and coconut oil, the official said. Weak prices in soybean due to bumper crop last year has been discouraging farmers to sow more of the oilseed in the ongoing kharif season, traders said. Some farmers in key growing areas are switching to other lucrative crops which resulted in a steep fall in the acreage so far this season 2017-18 (Jul-Jun).India is the largest importer of edible oils in the world. Palm oil accounts for more than 60% of the total imports of edible oils in the country while soy oil is the largest imported soft oils
(Impact: A hike in duty on imports of edible oils will make the imports costlier and provide a level playing field to the growers and refiners.)
Source : Newswire
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