The Ministry of Agriculture has proposed further hike in import duty of edible oils by 5% in order to protect interest of farmers who have been affected due to rise in import of edible oils. It has proposed increase in import duty on crude edible oils to 17.5% and on refined edible oils to 25% from the existing level.
The government had earlier in month of September raised import duty on crude edible oils to 12.5% from 7.5%, while the duty on refined edible oils was increased to 20% from 15%. This new proposal by ministry has been moved following several demands from state governments, especially Andhra Pradesh, as well as from the industry body Solvent Extractors’ Association (SEA).
As per data compiled by SEA, the country’s edible oil imports rose by 24% and stood at 14.42 million tonnes in the 2014-15 oil year that ended in October due to fall in international prices.