Global price fall makes edible oils cheaper

AHMEDABAD: Consumers gain from a correction in global edible oils prices. Companies like Adani Wilmar and Ruchi Soya have reduced consumer pack prices by 75 paise to Rs 2 a litre. They are expected to cut the prices further with palm and soya prices seeing a correction in the global market.

Currently, refined palm oil is quoted at Rs 550 per 10 kg compared to Rs 620 per 10 kg in March. Similarly, refined soya prices were in the range of Rs 665-670 per 10 kg from the previous high of Rs 695 in March.

Since March, the edible oil manufacturers have raised consumer pack prices by around Rs 5-6 a litre. "We have reduced prices of consumer pack by 75 paise a litre across the board in the past few days.

In April also, we had reduced the prices by Re 1 per litre. A further price reduction will take place if the prices fall in the international markets," said Adani Wilmar COO Angshu Mallick. Adani Wilmar is the leader in the 'refined oil in consumer packs' market with a volume share of about 15%. Similarly, Ruchi Soya has also passed on the benefit of procurement price reduction to its consumers.

"We have reduced prices of sunflower and soya by Rs 1-1.50 a litre. Palm prices have been reduced by Rs 2 a litre," said Ruchi Soya Industries MD Dinesh Shahra.