Image Credit source: File photo
Palm Oil Export: Indonesia, the largest producer of palm oil, had closed exports for about a month. Due to the problem of storage, now the raw material is not getting out of the fields. Now under the pressure of farmers, a scheme has been started to speed up exports.
After keeping the palm oil export ban for about a month, the condition of people associated with its cultivation and industry in Indonesia is bad. Oil stores are full. Due to which the goods are not coming out of the fields. In such a situation, now the Indonesian government has started trying to export more and more palm oil as soon as possible. Indonesia has launched an export accelerating plan aimed at shipping at least 1 million tonnes of crude palm oil, according to a trade ministry rule that went into effect on Thursday. This scheme is applicable till 31st July. All India Edible Oil Traders Federation has said that this will benefit Indian consumers.
Federation President Shankar Thakkar said that through this scheme, the government will speed up the process of export. If the goods come soon, then the price will come down here. Indonesia has cut export tax to promote crude palm oil exports from $575 per tonne to $488. Levy has also been cut. Crude palm oil lying ready will be sold, then raw material will come from the farms of the farmers there. Indonesia banned palm oil exports on 28 April. Whereas on 23 May he had to withdraw this decision. Indonesia is the largest producer of palm oil.
Good for countries dependent on import of edible oils
Malaysian palm oil futures fell for the second consecutive session on Thursday after the world’s largest palm oil producer Indonesia launched a plan aimed at boosting exports, Thakkar said. Indonesia, which is lagging behind in exporting in the global market, is trying to capture the market again.
After the change in Indonesia’s palm oil export policy and the announcement of reduction in export duty, Malaysia’s edible oil is seeing a sharp decline. Overall, these conditions are beneficial for countries like India which are dependent on the import of edible oils. India imports edible oil worth about 70 thousand crore rupees every year.
What happened after the hike in MSP
On the other hand, there is a possibility of delayed onset of monsoon in India. Because of this, the price of indigenous oils has remained strong. Especially the markets of Mustard, Groundnut and Binola are improving. Demand has also increased. Thakkar says that the situation is likely to improve further if the monsoon does not come for a long time. The situation has been further strengthened by the Central Government increasing the Minimum Support Price (MSP) of oilseed crops. The government has increased the MSP of groundnut by Rs 300 per quintal, Rs 385 per quintal in sunflower seed, Rs 350 in soybean and Rs 523 per quintal in sesame.
: Language Inputs
“This post is sourced from newspapers, magazines and third-party websites. For more information please check NewsNCR Disclaimer“
.
