: Mustard Oil Producers Association demand 2025% hike in import duty on palm oil #FinanceIndia #StockMarketNEWS Mustard Oil Producers Association demand 20-25% hike in import duty on palm oil Jaipur,

@StockMarketNEWS Tue 14 Mar, 2023

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Mustard Oil Producers Association demand 2025% hike in import duty on palm oil #FinanceIndia #StockMarketNEWS
Mustard Oil Producers Association demand 20-25% hike in import duty on palm oil Jaipur, Mar 13 (KNN) The Mustard oil industry is demanding a 20-25 per cent hike in the import duty on edible oil to curb cheaper shipments and boost local prices for supporting farmers, reported TOI.

Speaking on the side-lines of a seminar by Mustard Oil Producers Association of India, Babu Lal Data, president of the association told TOI that while the government increases the minimum support price, it does not take any action to restrict the import of cheap palm oil.

“Centre has increased MSP to Rs 5,450 which translated to around Rs 125 for the consumers. But it only procures 10-15 lakh tonnes, and the rest of the around 90,000-1 lakh tonne is dependent on market price. If the imported palm oil is available at Rs 85-90, people will be unwilling to buy mustard oil,” he said.

Data pointed out that if the farmers sell their produce below MSP in the open market, they will feel cheated and divert to other crops, creating further shortage. That’s why, in the current situation, given the rate differences, government should hike import duty on imports by at least 20-25 per cent.

Mustard oil is far superior to palm oil. Data said by encouraging import of palm oil, the government is depriving people of quality mustard oil, which unlike palm, has close to a dozen health benefits.

As on March 1, the country already has a surplus of 10 lakh tonnes of mustard and around 1.5 million soya. “The glut is because of the rate difference, and it is certainly not heling the producers. This year, it is expected that the mustard production volume to be around 1.10-1.15 lakh tonnes. If the situation does not change and cheaper imports continue to flood the market, the surplus could go up to 40,000 lakh tonnes. This will in no way benefit the farmers,” he added.

Rajasthan alone accounts for about 50 per cent of the mustard production in the country. (KNN Bureau)