Palm, soyoil import tariffs revised

The government today revised the import tariff value on palm oils and crude soyoil. Import tariff value is the base price at which import duty is levied.

Market players feel this would bring the domestic market prices of palm oils in sync with the international prices. But for soyoil the anomaly still prevails.

The tariff value cut for crude palm oils and crude soyoil will bring down the prices by 0.70 paisa to Re 1 for 10 kg. In case of palmoleins for crude, RBD or others the value has been raised by$19 a tonne -- a rise of about Rs 6-7 per 10 kg.

According to a senior analyst with a Mumbai-based brokerage firm, this revision has, through the $19 rise in crude and RBD palmolein, curbed the favourable tariff structure for refined palm oil.

"The difference between the crude palm oil and RBD palmolein has raised to $25 from the previous $4.This is expected to restrict imports of the latter," the analyst added.

The government sets the tariff value on palm and crude soybean oils.Tariff value changes are administered by the government for a minimum 10 per cent change in international prices. But the government has been revising the value fortnightly for last two months.

Seemingly, duty revision is also taking place fortnightly that is the 15th and the last day of the month.