Indonesia has decided to stop exporting palm oil from the last week of April. With this one decision, FMCG sector items like soap, shampoo, biscuits, toothpaste along with edible oil can become expensive in India. Due to this, the retail inflation rate for April is also expected to be affected. Retail inflation for March has already reached the level of 6.95 percent. Palm oil in India is used in the production of FMCG items from food to soap, biscuits, toothpaste, and shampoo. India imports 8 million tonnes of palm oil annually and imports 4 million tonnes from Indonesia. Indonesia is the largest palm oil producer in the world with a share of 62 percent. Malaysia is number two, but it is not able to meet the world's palm oil requirement.
On Monday, the price of palm oil reached the highest level in the last two weeks, experts say that the price of palm oil may continue to rise. There was an increase in the share prices of edible oil companies. FMCG companies may have to increase the prices of products to manage the increased cost or else their margins will be affected. Due to the decision of Indonesia, the increase in the prices of edible oil in India is also believed to be fixed. The consumption of edible oil in India is 225 lakh tonnes and this includes 8 million tonnes of palm oil. In case of a shortage of palm oil, there will be pressure on other edible oils, which will increase their prices.
Sunflower oil imports are already affected due to the Russo-Ukraine war and the prices of edible oil are increasing continuously. In March, the prices of edible oil and vegetable ghee increased by 18.79 percent as compared to March last year and it is believed to be a major contributor to the rise in the inflation rate of retail items. In February this year, the prices of edible oil and vegetable ghee had increased by 16.44 percent. Indonesia's decision will also make imports of other edible oils expensive, which will increase the import bill. With edible oil becoming costlier globally, India imported edible oil worth Rs 1.4 lakh crore in the financial year 2021-22 as against Rs 82,123 crore in the financial year 2020--21.
'Will help in regional problem', did China mention India by announcing help to Pakistan Army?
Describing Pakistan as a special friend, the Chinese military leadership said that the Chinese mi
Good news: India's direct tax collection breaks records, reaches a high of Rs 14 lakh crore
There is good news for the Indian economy. This time India's net direct tax collection has broken
The date of 22 January 2024 is going to be recorded in the pages of history in Ayodhya. The grand
Delhi Chief Minister Arvind Kejriwal's PA Vibhav Kumar, who is embroiled in the Aam Aadmi Party's
The ritual of consecration of Ram Lalla was amazing in many ways. In the seven-day ritual, 5.50 l
Preparations are being made to perform the formal puja before the consecration of the idol of Ram
Ranbir Kapoor is in the news these days about his upcoming film 'Ramayana'. Every day some news r
India and Australia have taken steps towards a great partnership in the field of education. Two t
Nipah Virus in India The country had just come out of the Coronavirus outbreak when another dange
The ICC T20 World Cup is to be played in Australia in October-November this year. All the teams h
