Central Government puts restrictions on import of refined palm oil
An importer will require license for import the RBD Palm Oil and RBD Palmolein as per imposed restriction.
source- public domain (scanrail)
Considering repeated demands from solvent processors to protect the interests of domestic refiners, the Centre on Wednesday placed restrictions on the imports of refined palm oils.
The Central government on Wednesday imposed restrictions on imports of refined palm oil.
According to a notification of the Directorate General of Foreign Trade (DGFT), "import policy" is amended from "free to restricted" for refined bleached deodorized palm oil and refined bleached deodorized palmolein. The decision applies to RBD Palm Oil and RBD Palmolein imports under the HS code of 15119010 and 15119020 category.
What is Imposed restriction?
Putting the commodity in restricted category means an importer will require license for import the RBD Palm Oil and RBD Palmolein. India imports about 70 per cent or 16 million tonnes of its annual 24 million tonnes of edible oil requirements. The Solvent Extractors’ Association of India (SEA) President Atul Chaturvedi issued a statement thanking the government on the decision.
Current Oil Import Scenario
India, the world's largest importer of vegetable oils, buys nearly 15 million tonnes annually. Of this, palm oil comprises 9 million tonnes and the rest 6 million tonnes is soybean and sunflower oil.
Indonesia and Malaysia are the two countries which supply palm oil. Malaysia produces 19 million tonne of palm oil in a year, while Indonesia produces 43 million tonne, the trade data showed.