Vegetable oil price | Rising price of vegetable oil, pulses spoiled the taste of food, the reason for increasing price is also special, rising price of Vegetable oil, pulses in India govt mulling to cut import duty
Retail inflation increased in India.  |  Photo Credits: PTI
- Retail inflation in India has hit a six-month high
- Common man upset due to increased prices of vegetable oil and pulses
- Government thinking of cutting import duty on edible oil
New Delhi : The skyrocketing prices of edible oil and pulses have spoiled the condition of the kitchen of the house for the past few months. Nothing can be said clearly about when these prices will come down, but the common man is troubled by the extra burden read on the pocket. India is the world’s largest importer of vegetable oil. Many reasons are being counted behind the increase in the price of vegetable oil. Given the current environment at the international level, India may have to buy vegetable oil at a higher price in the coming times. However, the government is taking measures to provide relief to the public on the increased prices on edible oil. The government is contemplating to cut import duty.
Sunflower oil price hiked by more than 50 percent
If we talk about the last 12 months, the price of sunflower oil has increased by more than 50 percent. In a metropolis like Kolkata, its price has increased by up to 77 percent. While mustard oil, palm oil and other edible oils have increased by more than 30 percent. There is also a rise in the price of pulses. In the last days, the price of gram and tur dal has increased by more than 25. The price of edible oil and pulses is skyrocketing across the country and due to this the common people are very upset.
Retail inflation at its six-month high in May
Data released on Monday shows that retail inflation has reached its six-month high of 6.3 percent in the month of May. This has been attributed to increase in fuel prices and food prices. This rate of inflation also remains a challenge for the Reserve Bank of India (RBI). Given this rate, it will be a difficult task for the RBI to reduce its interest rates in the coming times. According to the data, the price of oil and maida has increased by 30.8 percent this month, while the price of pulses and products has increased by 9.4 percent annually.
increasing pressure on the government
The rise in the prices of edible oil and pulses has surprised the economists. The special thing is that apart from oil and pulses, the inflation rate is increasing. Fuel prices are increasing continuously, due to which the pressure on the government is increasing. Economists believe that after the complete lifting of the lockdown restrictions, the price of food items will come down. Apart from this, expected monsoon rains will also have an impact on food prices.
Vegetable oil being used in the manufacture of biodiesel
The reason for the increase in the prices of edible oil is said to be international. Actually, crude vegetable oil is being used in biodiesel. This has increased its demand in the countries producing vegetable oil. Due to drought in the US and Brazil, the price of oil made from soy has increased by more than 70 percent. The US Department of Agriculture says that by September, the global production of soybeans will be the most in five years. It is expected to come in at 87.9 million tonnes.
India spends $8.5 to 10 billion on import of vegetable oil
India spends an average of $8.5 to 10 billion annually on vegetable oil imports. The increase in vegetable oil prices will put more burden on the government. India is the largest importer of vegetable oil after crude oil and gold. In view of the consumption and demand of vegetable oil in India, the government has emphasized on the production of oil-producing crops. The government is also thinking of giving incentives to the farmers. The government has not yet proceeded on any concrete strategy to bring down the prices of vegetable oil. It still seems to be relying on measures like reduction in import duty to bring down prices.
#Vegetable #oil #price #Rising #price #vegetable #oil #pulses #spoiled #taste #food #reason #increasing #price #special #rising #price #Vegetable #oil #pulses #India #govt #mulling #cut #import #duty