Government lifts import duty on sunflower oil and soybean, curbs sugar exports to cool prices

At the moment, there is a 5% agricultural infrastructure and development cess  for importing these items.

Published: 25th May 2022 09:45 AM  |   Last Updated: 25th May 2022 09:45 AM   |  A+A-

By Express News Service

NEW DELHI: As part of its efforts to tackle mounting inflationary pressure, the Centre on Tuesday exempted import levy and cess on crude soybean oil and sunflower oil on a quantity of 20 lakh tonnes a year for two years.

At the moment, there is a 5% agricultural infrastructure and development cess  for importing these items. The  latest move could bring relief to consumers as it will cool cooking oil prices. The government has already scrapped base customs duty on almost all edible oils, including palm oil and soybean oil, and imposed inventory limits to curtail hoarding.

The decision comes in the backdrop of oil prices jumping as much as 17% last month. The overall retail inflation in April stood at a high 7.8%. India is one of the top importers of vegetable oil in the world. Prices of edible oils skyrocketed after the Ukraine-Russia war started and Indonesia put a ban on palm oil exports. 

In another development, the Centre also restricted sugar exports to 100 lakh tonnes to maintain enough domestic supply and prevent rise in prices. “Sugar mills and exporters need to take approvals in form of Export Release Orders from Directorate of Sugar, Department of Food and Public Distribution,” a government statement read.



Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp