The Centre has asked the edible oil associations to ensure reduction in the maximum retail price (MRP) of edible oils by up to Rs 15 per litre, with immediate effect. “The Department of Food and Public Distribution in a meeting on July 6th 2022 has directed leading Edible Oil Associations to ensure reduction in the MRP of edible oils by Rs. 15/- with immediate effect,” said ministry of consumer affairs, food and public distribution in a notification.
The Union government has also advised the manufacturers and refiners to reduce prices of edible oils immediately and pass the benefits to consumers. “It was also impressed upon that whenever a reduction in price to distributors is made by the manufactures/refiners, the benefit should be passed on to the consumers by the industry and the Department may be kept informed on regular basis,” the ministry added. Those major oil producers who have not reduced the price earlier, have been asked to cut their prices as well.
This move came after the global prices of edible oils had reduced by USD 300-450 per tones in the last one month. India meets around 56 per cent of its annual edible oil demand from imports. Hence, a dip in the edible oil prices in the international market have a direct impact on the domestic market.
The Centre has been monitoring prices of cooking oils on a daily basis and taking necessary steps to keep a check on the rates of the cooking oil. “The edible oil prices in the international market are witnessing a dramatic fall, however, the situation in the domestic market is slightly different as the fall in the prices are gradual. The Government of India stepped in and a meeting was convened by the Department of Food and Public Distribution with the leading industry representatives including SEAI, IVPA and SOPA to discuss reduction in the retail prices of cooking oils amid a fall in the global prices,” the ministry further mentioned.
