Major edible oil companies, including Adani Wilmar and Ruchi Soya, have reduced the maximum retail price (MRP) of their products by 10 to 15 per cent to provide relief to consumers, industry body Solvent Extractors Association (SEA) said on Monday.
The prices have been cut down by the companies after the food ministry had asked them to act in sync with the reduction in import duties on edible oils, which the government had announced earlier.
Import duties were cut in order to control the spiralling prices of edible oils in the country.
Subsequently the reduction in prices have been effected by Adani Wilmar (on Fortune brands), Ruchi Soya (Mahakosh, Sunrich, Ruchi Gold and Nutrella brands), Emami (Healthy & Tasty brands), Bunge (Dalda, Gagan and Chambal brands) and Gemini (Freedom sunflower oil brands), the industry body said.
COFCO (Nutrilive brands), Frigorifico Allana (Sunny brands), Gokul Agro (Vitalife, Mahek and Zaika brands) have also reduced their prices, it added.
“We are happy to share that our leading members have responded proactively and reduced MRP on edible oils marketed by them, across the board by 10-15 per cent to provide relief to consumers during the festival season,” Solvent Extractors Association of India (SEA) said in a statement.
Aiming to provide relief to consumers, Union Food Secretary Sudhanshu Pandey had called a meeting of industry leaders a few days back and requested them to cooperate with the government’s decision to cut import duties which it had announced.
SEA said it is hopeful the new year would bring happier tidings for consumers with expectations of a large domestic mustard crop coupled with softening international prices in coming months.
The SEA further said that the exorbitant price increase in edible oils during the last few months on account of high international prices was unnerving domestic consumers as well as policy makers.
The last reduction on import duty was done by the government on December 20 when the basic customs duty on refined palm oil was brought down to 12.5 per cent from 17.5 per cent till the end of March 2022.
To boost supplies, the government has allowed traders to import refined palm oil without licence for one more year till December 2022 and markets regulator banned launch of new derivative contracts of crude palm oil and a few other agricultural commodities.