There is a sharp fall in the prices of edible oil in the international market.
New Delhi:
The Ministry of Consumer Affairs, Food and Public Distribution said that the Department of Food and Public Distribution has directed the major edible oil associations to ensure reduction in the Maximum Retail Price (MRP) of edible oils by Rs 15 (per liter) with immediate effect. on Friday.
The government has also advised that there is an urgent need for manufacturers and refiners to reduce prices by distributors so that the fall in prices is not curtailed in any way.
It was also emphasized that whenever price reduction is done by the manufacturers/refiners to the distributors, the benefits should be passed on to the consumers by the industry and the department should be informed on regular basis. Some companies which have not reduced their prices and their MRP is higher than other brands have also been advised to reduce their prices.
The Department of Food and Public Distribution gave these instructions during a meeting with the Edible Oil Associations.
“During the meeting it was discussed that the international prices of imported edible oils are on a downward trend which is a very positive picture in the edible oil scenario and hence, the domestic edible oil industry needs to ensure that the domestic market Prices also fall proportionately,” the ministry said in a statement.
“This fall in prices should be passed on to consumers expeditiously without any lethargy. Other issues like price data collection, control order on edible oils and packaging of edible oils were also discussed in the meeting,” it said.
In May 2022, the department convened a meeting with the major Edible Oil Associations. After the meeting, prices of several popular edible oil brands were reduced.
The MRP (maximum retail price) of 1 liter pack of Fortune Refined Sunflower Oil has been reduced from Rs 220 to Rs 210 and that of Soyabean (Fortune) and Kachi Ghani Oil 1 liter pack has been reduced from Rs 205 to Rs 195.
The reduction comes in the wake of the government reducing import duty on edible oils to make them cheaper. The industry was advised to ensure that the full benefit of the reduced duty is passed on to the consumers.
The international market is witnessing a dramatic fall in the prices of edible oil, however, the situation is slightly different in the domestic market due to the gradual fall in prices.
The Center stepped in and a meeting was convened by the Department of Food and Public Distribution with key industry representatives including SEAI, IVPA and SOPA to discuss the reduction in retail prices of cooking oils amid fall in global prices.
The industry pointed out that the global prices of various edible oils have declined by $300-450 a tonne in the last one month, but it takes time to reflect in the retail markets and retail prices are expected to come down in the coming days. .
The Department is continuously monitoring the price and availability situation of edible oils in the country and it is imperative that the benefits of lower duty structure on edible oils and the continuous significant fall in prices in the international market are immediately passed on to the end consumers. failed.
The ministry said consumers can expect to save some extra money in their kitchen budget.