Now edible oil will be cheaper, the government reduced the tax on crude palm oil to 5 percent

Russia-Ukraine War: Palm Oil reaches record, cooking oil will be 20% costlier, know what is the reason?

[ad_1]

new Delhi. The flame of the ongoing war between Russia and Ukraine (Russia-Ukraine War) is about to reach your kitchen. Its exports from Russia and Ukraine, the largest producer of sunflower oil, have almost stopped, due to which the demand for palm oil has increased tremendously.

Ajay Kedia, Commodity Expert and Director of Kedia Advisory, says that under the pressure of global market, for the first time in India, Palm Oil has become the most expensive of all edible oils. Even further, all edible oils including palm oil can be 15-20 percent more expensive. Russia and Ukraine export about 70 per cent of the total sunflower oil to the world and the shortfall is now being met through palm oil.

Also read – War Effect: Government can postpone LIC’s IPO, know what will be the decision this week?

Palm prices increased more than three times in two years

Kedia said that in Malaysia, the largest producer of palm, its price was 1,937 ringgit (Malaysian currency) in May, 2020, which has now increased to 7,100 ringgit. That is, in less than two years, its prices have increased more than three times. This is the highest price ever. On Tuesday itself, the futures price of palm oil had reached a 7 percent jump.

India will have to change strategy again

In order to avoid the rising prices of palm oil, India had changed its strategy in the past and had made a strategy to import more sunflower and soybean oil to meet the needs of edible oil. India currently imports 17 lakh tonnes of sunflower oil from Ukraine, while it imports two lakh tonnes from Russia. Due to the disruption of exports from both the countries, it will have to buy palm oil again, which is running at a record high.

Also read – Russia-Ukraine War: Crude crosses $110, IEA warns the world

All types of edible oils will be expensive

Palm oil is used in all types of refined oil. Whether you buy groundnut oil or soybean oil, palm oil is adulterated in it. Earlier it was also adulterated in mustard oil, but two years ago the government banned it. This means that due to the increase in the price of palm oil, all types of edible oil will become expensive except mustard, whose price is already running expensive by Rs 15 a liter.

Due to these reasons, the price of palm oil is increasing

The government also adulterates palm in petrol and diesel.

– Palm producing countries have been hit hard by the weather, which has affected production.

After the pandemic, the labor cast increased and the workers now have to pay more.

– There is a shortage of containers, which has made logistics and shipment costly.

Tags: edible oil price, Palm oil

[ad_2]

Read Article in हिन्दी

Leave a Comment

Your email address will not be published.