Edible oil labelling to be deferred to Feb 21

The implementation of mandatory labelling on edible oil packaging, which was due on August 21, 2007, is likely to be deferred by six months due to a delay in drafting clear-cut guidance by the government.

The Solvent Extractors' Association of India (SEA) has already received an in-principle deferment approval from the governmental nodal agency Federation of Indian Chambers of Commerce and Industry (FICCI).

However, an official notification is yet to be issued, executive director B V Mehta said. The association is hoping that the notification would be issued in this regard very soon.

The industry is willing to label all packaged edible oils, including small pouches, provided the government lays out complete guidelines, an industry source said.

The industry requires clarity in two areas, parameters and value-added range. Products with uniform quality and quantity would be labelled without any problems, but those with minor quality variations need to be defined.

If the value addition was roughly 100 per cent, the entire lot of packaged oil would be labelled under one specification.

But, if the value addition range differs, say between 110-120 per cent, there is no labelling guidance according to existing guidelines.

Meanwhile, the SEA has demanded an amendment to the existing labelling guidelines to make them implementable and realistic in the current technological, social and economic scenario.

The minister of state for food and processing industries Subodh Kant Sahai had assured the industry last September that India is setting up "a standard" in the food and beverages sector in a bid to end adulteration and other malpractices. But, this is yet materialise.

The food processing industry is growing rapidly at 20 per cent in the last 3 years after a restricted growth of 7.5 per cent till 2003. The demand for quality food products would receive a boost once the 60 new millennium cities, which are in various stages of progress, were completed.

The demand for quality food products was earlier restricted to the four major metros.

The food processing industry is expected to attract an investment of Rs 50,000 crore in the 11th Five Year Plan.

Of this, the government's share will be 10 per cent, industry will account for 40 per cent and the remaining will come from banks and financial institutions, the minister of state for food processing said.

The oil extraction sector, which is growing rapidly, is faced with the vagaries of nature, such as erratic monsoon. The man-made problems can be sorted out jointly by the ministries of food processing, agriculture and the industry bodies.