Veg oil imports post 23% fall in Oct-Nov
Vegetable oil imports into the country has registered a 23% decline year-over-year at 252,242 tonnes in November 2006.
By TNN & Agencies |
MUMBAI: Vegetable oil imports into the country has registered a 23% decline year-over-year at 252,242 tonnes in November 2006. According to the Solvent Extractors’ Association (SEA) data, at 5,500 tonnes, refined oil imports accounted for just 2%, while crude oil imports accounted for 98% at 246,742 tonnes.
Palm oil products, comprising crude palm oil, RBD palmolein and crude palm kernel oil, during November 2006 was 189,992 tonnes (75%) while soft oil import was 62,250 tonnes (25%).
Imports of non-edible oil was 49,792 tonnes compare to 45,002 tonnes in November 2005.
Meanwhile, the government kept the base import prices of edible oils unchanged and allowed private traders to import wheat duty free until March, 2007 to contain spiralling prices.
To contain prices, the Centre has cut import duty on wheat and allowed the import of essential commodities like pulses on easier terms. It has also banned sugar exports, despite prospects of a bumper output in the new season that began in October, as it feels retail prices of sugar were ruling high.
It has not changed the base import prices of palm oils since August and has made only marginal changes in prices of soya oils. The government fixes base prices to calculate customs duty and prevent any loss of revenue due to under-invoicing by importers. Traders pay duties on the base value, irrespective of the prices paid for the oils.
“This was expected, looking at the price situation and inflationary trends,” said BV Mehta, executive director, SEA. He also said any upward revision in oil prices would have added to the pressure as global prices were high.
Finance minister P Chidambaram has said the government’s immediate goal is to control inflationary expectations, with a view to containing inflation below 5% in 2006-07 and below 4% in the medium term. RBI estimates that inflation at the end of FY07 will be in the 5-5.5% range.
The finance ministry, through a notification on Friday, allowed traders to import wheat duty free until March, 2007 from the previous cutoff date of December 31.
Palm oil products, comprising crude palm oil, RBD palmolein and crude palm kernel oil, during November 2006 was 189,992 tonnes (75%) while soft oil import was 62,250 tonnes (25%).
Imports of non-edible oil was 49,792 tonnes compare to 45,002 tonnes in November 2005.
Meanwhile, the government kept the base import prices of edible oils unchanged and allowed private traders to import wheat duty free until March, 2007 to contain spiralling prices.
To contain prices, the Centre has cut import duty on wheat and allowed the import of essential commodities like pulses on easier terms. It has also banned sugar exports, despite prospects of a bumper output in the new season that began in October, as it feels retail prices of sugar were ruling high.
It has not changed the base import prices of palm oils since August and has made only marginal changes in prices of soya oils. The government fixes base prices to calculate customs duty and prevent any loss of revenue due to under-invoicing by importers. Traders pay duties on the base value, irrespective of the prices paid for the oils.
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“This was expected, looking at the price situation and inflationary trends,” said BV Mehta, executive director, SEA. He also said any upward revision in oil prices would have added to the pressure as global prices were high.
Finance minister P Chidambaram has said the government’s immediate goal is to control inflationary expectations, with a view to containing inflation below 5% in 2006-07 and below 4% in the medium term. RBI estimates that inflation at the end of FY07 will be in the 5-5.5% range.
The finance ministry, through a notification on Friday, allowed traders to import wheat duty free until March, 2007 from the previous cutoff date of December 31.
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