Govt slashes basic duty on crude palm oil, soybean oil & sunflower oil from 2.5% to nil

@the_news_21

Government has slashed the basic duty on crude palm oil, crude soybean oil and crude sunflower oil from 2.5 percent to nil in a bid to reign in continuous rise in the cooking oil prices since past one year. The Agri-cess on these Oils has been brought down from 20 percent to 7.5 percent for crude palm oil and 5 percent for crude soybean oil and crude sunflower oil. News agency reports that after the government’s decision, the total duty is reduced to 7.5 percent for crude palm oil and 5 percent for crude soybean oil and crude sunflower oil.

The basic duty on RBD Palmolein Oil, Refined Soyabean and Refined Sunflower Oil has been slashed to 17.5 percent from the current 32.5 percent. Before reduction, the agricultural infrastructure cess on all forms of crude edible oils was 20 percent. Post reduction, the effective duty on crude palm oil will be 8.25 percent and for crude soybean oil and crude sunflower oil, it will be 5.5 percent each.

The government has rationalised import duties on palm oil, sunflower oil and soybean oil with a view to control prices of edible oils. It has also suspended futures trading in mustard oil on National Commodity and Derivatives Exchange Limited and imposes stock limits.