19/03/2008 (The News-International, Pakistan) - PRICES of edible oil and ghee further declined in the wholesale market Tuesday, following a decrease in international palm oil rates, while the retailers have also lowered prices - for the first time after a sharp increase was registered previously.

The wholesale price of A-category ghee in the last couple of days declined by Rs 90 per 16 kilogram and was fixed at Rs 1990 per tin from Saturday’s rates of Rs 2,080. Wholesale rates of a B-category 16-kilogram tin plunged to Rs 1800 from Rs 1950, registering a decline of Rs 150 per tin during the last two days. The price of C-category ghee reduced to Rs 1750 per tin from the previous price of Rs 1800.

This time, retailers in different areas of the city have also reduced rates of ghee and edible oil for the end-users as a declining trend persisted on wholesale level. However, multinational companies have not reduced the rates of their products despite a cut in international edible oil prices.

On Tuesday, retail prices of different local brand loose ghee ranged from 116 to Rs 118 per kilogram from the previous rates of Rs 128 to Rs 130.

Thus, a reduction of Rs 12 per kilogram was recorded in the loose ghee price.

Polythene bags of local brands were sold at Rs 117 to Rs 120 per kilogram from the previous rates of Rs 129 to Rs 132 per kilogram. So, a decline of Rs 12 per kilogram was recorded in local brands.

However, the price of multinational ghee brand Dalda did not reduce in the market despite a decline in international and local prices.

Retailers in different areas of the city sold a tin of five-kilogram Dalda ghee for Rs 700 to Rs 750 while its wholesale price ranged from Rs 680 to Rs 690.

The price of one-kilogram Dalda polythene bag also remained stable at Rs 145 while the rate of Dalda cooking oil also remained the same at Rs 145 per litre.

However, prices of local brands and loose coking oil went down to Rs 117 per litre from the previous rates of Rs 130. Similarly, the price of mustard oil decreased to Rs 118 per kilogram from the previous price of Rs 130.

A declining trend in the price of fine was also recorded in city markets. The price of a 84-kilogram fine bag reduced by Rs 200 per bag during the last one week and was fixed at Rs 1500 per bag from the last week’s price of Rs 1700 per bag.

Analysts are predicting a decline in soybean oil and palm oil rates in the international market in the near future, following a tussle between two world economic powers - China and the US.

The price of Malaysian crude palm oil further fell as much as 4.7 per cent to touch a one-month low on Monday as weaker global soya oil markets and talk of a build-up in palm reserves plunged its prices.