News Buzz

Govt restricts edible oil imports

The government is considering a proposal to restrict the import of all kinds of refined edible oils, while continuing to keep crude oils under the free category. However, if this proposal is finalised, it will help India encourage import of more crude oils, facilitating better utilisation of the refining capacity of the domestic industry.

“The need to amend the existing trade policy has arisen as the duty on both crude and refined palm oil is going to be lowered from January 1, 2020. The duties are set to go down to 37.5% from 40% on crude palm oil and to 45% from 50% on refined palm oil, effecting a low differential of 7.5 percentage points between the import duty of crude and refined palm oil. This will encourage import of refined oil, affecting the domestic oil-refining business,” said a senior consumer affairs ministry official.