MARKET DEVELOPMENT
Edible oil prices up despite possible duty reduction
Edible oil prices up despite possible duty reduction
6/6/07 (Financial Express) - MUMBAI, Edible oil prices, mainly refined soy oil, RBD palmolein and groundnut oil, have moved up by Rs 10-25 per 10 kg in the past 15 days following strong overseas markets supported by steady local buying.
Refined soy oil and RBD palmolein this week crossed the magic mark of Rs 500-per 10 kg. Two major edible oil refiners have increase their selling prices by Rs 10-12 to Rs 505-507 per 10 kg - tax paid (for weekly delivery) in the past two days on continued buying from resellers and firm overseas markets.
Groundnut oil prices are ruling Rs 10-12 higher at Rs 670-672 per 10 kg over past 15 days, trade sources said. “Palm oil is now at premium of Rs 2-3 over refined soy oil as earlier refined soy oil used to enjoy a premium of about Rs 10-15,” a local broker said. In overseas markets, Palm oil is currently at a premium of $100 a tonne over South American soy oil, which is the highest it has ever been, he said.
The market has discounted the news of duty cut in edible oils. Secretary of food and consumer affairs ministry, Nand Kumar, made a statement that the government may consider revising duty downward if needed last week.
“I personally feel that there is no need for the government to panic as local prices are well under control,” BV Mehta, executive director, Solvent Extractors’ Association of India (SEA) told FE.
Refined soy oil and RBD palmolein this week crossed the magic mark of Rs 500-per 10 kg. Two major edible oil refiners have increase their selling prices by Rs 10-12 to Rs 505-507 per 10 kg - tax paid (for weekly delivery) in the past two days on continued buying from resellers and firm overseas markets.
Groundnut oil prices are ruling Rs 10-12 higher at Rs 670-672 per 10 kg over past 15 days, trade sources said. “Palm oil is now at premium of Rs 2-3 over refined soy oil as earlier refined soy oil used to enjoy a premium of about Rs 10-15,” a local broker said. In overseas markets, Palm oil is currently at a premium of $100 a tonne over South American soy oil, which is the highest it has ever been, he said.
The market has discounted the news of duty cut in edible oils. Secretary of food and consumer affairs ministry, Nand Kumar, made a statement that the government may consider revising duty downward if needed last week.
“I personally feel that there is no need for the government to panic as local prices are well under control,” BV Mehta, executive director, Solvent Extractors’ Association of India (SEA) told FE.