New Delhi: The government on Tuesday reduced the basic customs duty crude palm oil Up to 10 per cent, which will help bring down the prices of edible oil in the retail market.
Central Board of Indirect Taxes And Customs (CBIC) in a notification reduced the basic customs duty on crude palm oil to 10 per cent and on refined palm oil to 37.5 per cent with effect from Wednesday.
Effective Wednesday, the duty on crude palm oil, which includes cess and other duties, will be 30.25 per cent, while it will be 41.25 per cent for refined palm oil.
“This notification shall be effective from June 30, 2021 and shall remain in force till September 30, 2021,” the CBIC said.
At present, the basic customs duty on crude palm oil is 15 per cent, while it is 45 per cent for all other categories of palmolein (RBD palm oil, RBD palmolein, RBD palm stearin and any palm oil other than crude palm oil).
“To provide relief to the people, the government has reduced the customs duty on crude palm oil from 35.75 per cent to 30.25 per cent and on refined palm oil from 49.5 per cent to 41.25 per cent. This will bring down the retail prices of edible oils in the market,” tweeted CBIC.
BV Mehta, executive director, Solvent Extractors Association of India (SEA), said, “The government has tried to balance the interests of both consumers and farmers. This will provide immediate relief to the poor, while protecting farmers as the duty is reappeared. will be extended.” October is when the harvesting season begins”.
decrease in Import duty He said refined palm oil will not have much impact as inward shipments are restricted.
Domestic edible oil prices have more than doubled in the last one year. India meets about two-thirds of its edible oil demand through imports.
According to data from industry body SEA, India’s palm oil imports rose 48 per cent to 7,69,602 tonnes in May 2021 on higher shipments of crude palm oil.
India, the world’s leading vegetable oil buyer, imported 4,00,506 tonnes of palm oil in May 2020.
The country’s total vegetable oil imports rose 68 per cent to 12.49 lakh tonnes in May 2021 as against 7.43 lakh tonnes in the year-ago period.
Palm oil accounts for more than 60 percent of the country’s total vegetable oil imports.
Earlier this month, the government slashed the tariff price for edible oil imports, including palm oil, by USD 112 a tonne, a move that experts said would help bring down domestic prices.
Tax experts had said that the reduction in the tariff value may soften the prices of edible oil in the domestic market as the customs duty payable on the base import price will also come down.
Central Board of Indirect Taxes And Customs (CBIC) in a notification reduced the basic customs duty on crude palm oil to 10 per cent and on refined palm oil to 37.5 per cent with effect from Wednesday.
Effective Wednesday, the duty on crude palm oil, which includes cess and other duties, will be 30.25 per cent, while it will be 41.25 per cent for refined palm oil.
“This notification shall be effective from June 30, 2021 and shall remain in force till September 30, 2021,” the CBIC said.
At present, the basic customs duty on crude palm oil is 15 per cent, while it is 45 per cent for all other categories of palmolein (RBD palm oil, RBD palmolein, RBD palm stearin and any palm oil other than crude palm oil).
“To provide relief to the people, the government has reduced the customs duty on crude palm oil from 35.75 per cent to 30.25 per cent and on refined palm oil from 49.5 per cent to 41.25 per cent. This will bring down the retail prices of edible oils in the market,” tweeted CBIC.
BV Mehta, executive director, Solvent Extractors Association of India (SEA), said, “The government has tried to balance the interests of both consumers and farmers. This will provide immediate relief to the poor, while protecting farmers as the duty is reappeared. will be extended.” October is when the harvesting season begins”.
decrease in Import duty He said refined palm oil will not have much impact as inward shipments are restricted.
Domestic edible oil prices have more than doubled in the last one year. India meets about two-thirds of its edible oil demand through imports.
According to data from industry body SEA, India’s palm oil imports rose 48 per cent to 7,69,602 tonnes in May 2021 on higher shipments of crude palm oil.
India, the world’s leading vegetable oil buyer, imported 4,00,506 tonnes of palm oil in May 2020.
The country’s total vegetable oil imports rose 68 per cent to 12.49 lakh tonnes in May 2021 as against 7.43 lakh tonnes in the year-ago period.
Palm oil accounts for more than 60 percent of the country’s total vegetable oil imports.
Earlier this month, the government slashed the tariff price for edible oil imports, including palm oil, by USD 112 a tonne, a move that experts said would help bring down domestic prices.
Tax experts had said that the reduction in the tariff value may soften the prices of edible oil in the domestic market as the customs duty payable on the base import price will also come down.
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