India is planning to introduce a duty on the import of vegetable oils, which will limit the rise in prices

Published 2024년 8월 30일

Tridge summary

The Indian government is planning to increase the import duty on vegetable oils to protect local farmers from falling oil prices, which is expected to decrease the demand and supply of palm, soybean, and sunflower oil in the country. This decision comes as a response to rising global oil prices, which have led to an increase in the prices of palm oil futures in Malaysia and soybean oil futures in Chicago. Meanwhile, sunflower oil prices have also seen an increase, but the demand prices for Ukrainian sunflower oil from EU buyers remain steady. Ukraine has experienced a significant reduction in sunflower oil exports in recent months due to a shortage of raw materials.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The Reuters agency, citing its own sources, reported that the Indian government plans to increase the import duty on vegetable oils to protect its farmers from lower oil prices. Such a decision, which may be taken in the coming weeks, will lead to a reduction in the demand and supply of palm, soybean and sunflower oil to the country. Amid rising oil prices, October palm oil futures on Bursa Malaysia rose 2.4% for the week to RM3,920/t or $906.8/t (+6% for two weeks), despite falling export rates in August. According to surveyors Societe Generale de Surveillance (SGS), Intertek Testing Services and AmSpec Agri Malaysia, for August 1-25, Malaysia reduced palm oil exports by 14.1-14.9%. December soybean oil futures in Chicago rose 8.2% to $930/t for the week, fully reversing the monthly decline. The sharp increase in prices is due not only to the increase in the price of oil, but also to rumors about the US's intention to limit the import of used vegetable oil (UCO). According to ...

Source: Graintrade