NEW DELHI (Oct 13): India on Wednesday slashed import taxes on palm oil and other edible oils as local consumer prices remain at high levels.
It removed the basic import duty and slashed an agriculture development cess on crude palm oil (CPO) to 7.5% from 20%.
The effective import duty, which includes surcharges, on CPO starting Thursday will be 8.25% compared with 24.75% earlier.
The basic duty on refined palm oil was brought down to 17.5% from 32.5%, making the rate of effective duty 19.25% compared with 35.75% before Oct 14, according to a government notification.
Import taxes were also reduced on soyoil and sunflower oil.
India has been trying to control soaring retail prices of cooking oil with tax reductions and other measures.
The country is heavily reliant on edible oil imports to meet domestic consumer demand
It imported 13.35 million tonnes of edible oil in its fiscal year 2020-21 while domestic output was 12.47 million tonnes, according to government data.
The Mumbai-based trade group Solvent Extractors' Association of India (SEA) said the latest duty cuts would help in curbing retail prices but hurt oilseed farmers.
The immediate trigger for the drastic duty reduction is largely on account of the high prices of edible oil and the onset of the festive season and high food inflation, SEA president Atul Chaturvedi said.
"However the timing of reduction of import duty is a cause of concern as farmers are now harvesting record kharif soya and groundnut crop and the reduction in import duty may affect the farmers’ realisation for their produce," he said.
Calvin comments:
This huge cut in import duty for palm oil by more than half will spur import of cheaper Cpo from Malaysia just when Indonesia raised its export duty
Another powerful reason Palm Oil Bull Run is now getting stronger and stronger in the days and months ahead
Created by calvintaneng | May 02, 2024
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Created by calvintaneng | Apr 06, 2024
This is inevitable as Indonesia moved up the value chain and Value Add to it's palm oil
Sarawak Oil Palm (SOP) is already far ahead with it's Vertical Top down integration with upstream ,mid stream and down stream operations of
Ffb
Milling
Refinery
Down stream cooking oil
Further downstream Merris red palm oil
And Vit E and Vit C (beta carotene)
Then spread out to
SOP property
So SOP is ahead of it's time and should rise up to blue chip status
That is why Calvin said every palm oil lover should have some SOP in his portfolio
2021-10-14 20:44
With Africa jumping into palm oil production there will be more supply.
Palm Oil will drop to RM 2 per tonne
2021-10-14 20:45
Africa?
Goldenagri already gone there
Calvin also bought Goldenagri in Singapore
https://www.africaoutlookmag.com/industry-insights/article/109-golden-agris-liberia-project-gets-500m-loan-from-china
Africa mostly desert and not so much rain like Malaysia
Africa cannot
MALAYSIA SAJA BOLIH!!
2021-10-14 20:49
Africa is a continent and can contain hundreds of Malaysia in it.
Not whole of Africa is desert.
2021-10-14 20:52
No. Africa confirmed not suitable. Waseong went there with 1 million acres and FAILED
See https://www.farmlandgrab.org/post/view/22141-malaysias-wah-seong-to-invest-744-million-in-congo-palm-oil
Only Malaysia Bolih! With Heavy Monsoon Rainfall Palm Oil trees need
2021-10-14 21:15
calvintaneng
Another very favourable news for Malaysia
Indonesia will stop exporting crude palm oil one day
That means Malaysia will dominate Crude Palm Oil export one day
https://www.channelnewsasia.com/business/indonesia-stop-export-crude-palm-oil-some-point-2242176
2021-10-14 20:41