India slashes import taxes on palm oil as retail cooking oil prices remain high

Published Oct 14, 2021

Tridge summary

India has lowered import taxes on palm and other edible oils to combat high local prices. The basic import duty on crude palm oil (CPO) has been removed and reduced to 7.5% from 20%, resulting in an effective import duty of 8.25% compared to 24.75% previously. The basic duty on refined palm oil has also been reduced to 17.5% from 32.5%, with an effective duty of 19.25%, down from 35.75% earlier. The country, which relies heavily on edible oil imports to meet domestic demand, has been implementing tax reductions and other measures to control retail prices of cooking oil.

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

Original content

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 ...

Source: Theedgemarkets