 "Veg oil import up 21% in June; 12% in Nov-Jun period")
Vegetable oil imports increased by 21% in June to 9.47 lakh tonnes due to lower domestic production and rising local demand for cooking oils, according to industry data released today.
Import of vegetable oils, which comprises edible and non-edible oils, rose by 12% during the November 2012 and June 2013 period at 71.45 lakh tonnes compared to 63.95 lakh tonnes in the corresponding period of previous year.
"Imports have increased because of lower domestic production last year. The new crop will come only in November. Moreover, local demand is also rising," Solvent Extractors' Association Executive Director BV Mehta said.
"We have already reached 71.5 lakh tonnes of imports and further 35-40 lakh tonnes are expected between July and October, taking the overall imports to 107-110 lakh tonnes," Mehta said.
India imports palm oil from Indonesia and Malaysia and soyabean oil from Argentina and Brazil. The country imports about 60% of its domestic demand. Currently, there is zero duty on crude and 7.5% on refined edible oils.
On prices, he said the global prices is lower by 15% than last year but customers have not been benefited as the same was offset by the fall in rupee value.
"In last one year, RBD palmolein has fallen by $159 (16%), crude palm oil by $141 (15%) and crude soybean oil by $173 (15%). However, rupee has suddenly fallen in last few days and touched 60 to a dollar, putting a pressure on import of vegetable oils," SEA said in a statement.
The stock of edible oils as on July 1, 2013 at various ports was estimated at 6.9 lakh tonnes and about 13.7 lakh tonnes in in the pipeline.
Import of vegetable oils, which comprises edible and non-edible oils, rose by 12% during the November 2012 and June 2013 period at 71.45 lakh tonnes compared to 63.95 lakh tonnes in the corresponding period of previous year.
"Imports have increased because of lower domestic production last year. The new crop will come only in November. Moreover, local demand is also rising," Solvent Extractors' Association Executive Director BV Mehta said.
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The industry body pegged the vegetable oils imports at a new record level of at 107-110 lakh tonnes in 2012-13 marketing year (November to October) compared to about 102 lakh tonnes in the previous year.
"We have already reached 71.5 lakh tonnes of imports and further 35-40 lakh tonnes are expected between July and October, taking the overall imports to 107-110 lakh tonnes," Mehta said.
India imports palm oil from Indonesia and Malaysia and soyabean oil from Argentina and Brazil. The country imports about 60% of its domestic demand. Currently, there is zero duty on crude and 7.5% on refined edible oils.
On prices, he said the global prices is lower by 15% than last year but customers have not been benefited as the same was offset by the fall in rupee value.
"In last one year, RBD palmolein has fallen by $159 (16%), crude palm oil by $141 (15%) and crude soybean oil by $173 (15%). However, rupee has suddenly fallen in last few days and touched 60 to a dollar, putting a pressure on import of vegetable oils," SEA said in a statement.
The stock of edible oils as on July 1, 2013 at various ports was estimated at 6.9 lakh tonnes and about 13.7 lakh tonnes in in the pipeline.