Increase in effective import duty on edible oils as tariff value rises

(By commerce representative), Mumbai, Ta. 30 June 2020, Tuesday

In the Mumbai Oilseeds market today, led by palm oil, prices of various imported edible oils continued to decline and behind the spot market, the futures market also softened, market sources said. Meanwhile, according to a report from Delhi, the central government has increased the tariff value of various edible oils used as a benchmark to import into the country, leading to an increase in the effective import duty on these edible oils, experts said.

Meanwhile, such tariff value was reported to have been increased from ૫૯૬ 6 to ૬૨૮ 6 for crude palm oil, થી 21 to ૬૫૬ 4 for palmolin and ૭૨૮ 615 for soyoil. As a result, the effective import duty on domestic CPOs has been increased by Rs 1,013 per tonne, palmolin by Rs 1,3 per tonne and soyoil by Rs 4, experts said. However, in the Mumbai spot market, the price of 10 kg of palm oil fell by Rs 5 today, while CPO Kandla was quoted at Rs 20. In the futures market, CPO prices were quoted at Rs 4.50 in the evening and soyoil futures were quoted at Rs 305. The new demand was winged.

In the global market, palm oil futures in Malaysia fell by 3 points today, while there was news of a fall in the price of palm products from ૭ 2.50 to ૦૦ 10.00. In the US, Chicago soyoil futures, however, rose by 3 points overnight, indicating higher prices in the projection this evening.

In the Mumbai spot market, cingulum oil was trading at Rs 1,20 per 10 kg, cottonseed oil at Rs 20, soyoil digam at Rs 8 and refined at Rs 310, sunflower at Rs 20 and refined at Rs 20 and mustard at Rs 20. In the Mumbai spot market, however, castor oil prices rose by Rs 10 to Rs 30 to Rs 30 today, while spot castor prices rose by Rs 20 to Rs 4,050. However, castor July futures were soft at Rs 15 to Rs 15 in the evening. According to market insiders, growers are likely to switch to groundnut and cotton plantations, which could lead to a decline in castor cultivation.

Meanwhile, there was news that Indonesia would continue to raise taxes on crude palm oil exports to zero for July. In the Mumbai flour market, soymeal and sunflower flour prices fell by Rs 500 to Rs 200 per tonne today, while other flours were quiet. Meanwhile, manufacturing companies today quoted cingulum oil at Rs 1,20, 15 kg at Rs 3,150 to Rs 2,150 and cotton washed at Rs 4 to Rs 4. Meanwhile, in US agricultural markets, cotton futures were down 3 points in overnight trade, while soybean futures were up 16 points.