31/03/2008 (Bloomberg) - India, the world's biggest buyer of vegetable oil after China, may further cut edible oil import duties to ensure local supplies and contain inflation.

``There is an increase in international prices. This has to be met with import duty calibration, which we are considering,'' Trade Minister Kamal Nath told reporters in New Delhi today.

India may exempt edible oils from import taxes and reduce import taxes on steel, Nath said. The government may also reduce duties on other food products.

The cabinet panel on prices, scheduled to meet this evening, will consider the increase in prices of steel, cement, edible oils and staple foods including rice and wheat, Nath said.

India on March 20 cut import duties on crude palm oil, including crude palmolein, refined palm oil including RBD palmolein, crude mustard, rapeseed, colza and canola oils. The levy was cut four times in 2007.