Increase in effective import duty on imported oils as tariff value of edible oils increases.

(By commerce representative), Mumbai, Ta. 30 September 2020, Wednesday

In the Mumbai Oilseeds market, prices of various imported edible oils continued to decline today, while cottonseed oil prices in domestic edible oils fell behind the stations, while cingulum oil remained calm, market sources said. Meanwhile, there was a new demand wing in the spot market today and trades were slow.

World market news was showing softness. Meanwhile, according to a report from Delhi, the central government has significantly increased the tariff value used as a benchmark to calculate the import duty on various edible oils imported into the country, leading to an increase in the country's import and effective import duty on edible oils, market sources said. Meanwhile, according to world market news, Indonesia has raised the tax on crude palm oil exports from ૦ 0 (zero) to ૩ 5 for October.

Meanwhile, the government has increased the tariff value of crude palm oil (CPO) from ૭૪ 21 to ૭૬૨ 6, the tariff value of palmolin from ૭૮૬ 3 to ૮ 303 and the soybean oil from ૮૬૪ 203 to ૯ 205, leading to an effective import of CPOs. While such duty on palmolin has gone up by Rs 305 and soyoil by Rs 1.2, market analysts added.

CPO and soyoil futures prices, which had been declining till noon, rose again in the evening on the back of effective import duty, futures market sources said. CPO's October futures were down by Rs 5 to Rs 31 in the evening, while soyoil's October futures were down by Rs 21.50 to Rs 4 in the evening.

Meanwhile, in the Mumbai spot market, however, palm oil prices fell to Rs 5 per 10 kg today, while soyoil prices fell to Rs 5 for digam and Rs 500 for refined. Sunflower was priced at Rs 1,150 and refined at Rs 1,150, while mustard was priced at Rs 1,050.

Peanut oil prices were quiet at Rs 1,50 per 10 kg, while cottonseed oil prices were quoted at Rs 20. Meanwhile, manufacturing companies today reported a fall in cotton washed prices from Rs 200 to Rs 305, while cingulum oil prices were reported at Rs 1,50 to Rs 1,20 and 15 kg at Rs 1,50 to Rs 1,20.

Meanwhile, palm oil futures in Malaysia traded down 3 points today, while palm product prices were down ૫ 3. Meanwhile, soyoil futures in the US were in projection at minus 4 to 6 points this evening.

Meanwhile, castor oil prices rose by Rs 2 per 10 kg in the Mumbai spot market today, while spot castor prices rose by Rs 3. In the Mumbai flour market today, prices of various flours are being quoted at Rs 200 to Rs 300 per tonne, market sources said.