<p>The Centre on Tuesday allowed duty-free import of 20 lakh tonnes each of crude soybean oil and crude sunflower oil per year for a period of two years till 2024. The move will cool down prices of edible oils in the domestic market and check food inflation, hitting the roof.<br /><br />"This will provide significant relief to the consumers,” the Central Board of Indirect Taxes and Customs said.<br /><br />Since February 2021, the Centre has reduced import duty on edible oil seven times. But prices have not come down significantly. India imports 60 per cent of its edible oil consumption. The prices have gone up significantly after the Russia-Ukraine war that has disrupted supply of sunflower oil from the Black sea region.<br /><br />Traders say India's import of edible oil is so huge that prices go up in the international market immediately after the Indian government cuts import duty. This does not allow prices to come down significantly in the domestic market.<br /><br />The move comes two days after the government cut excise duty on petrol and diesel and also waived import duty on some raw materials used in steel and plastic industry.<br /><br />The consumer price inflation has nearly touched 8 per cent in the country forcing the RBI to make loans costlier but it impacts demand in a pandemic-ridden economy and choke growth.</p>
<p>The Centre on Tuesday allowed duty-free import of 20 lakh tonnes each of crude soybean oil and crude sunflower oil per year for a period of two years till 2024. The move will cool down prices of edible oils in the domestic market and check food inflation, hitting the roof.<br /><br />"This will provide significant relief to the consumers,” the Central Board of Indirect Taxes and Customs said.<br /><br />Since February 2021, the Centre has reduced import duty on edible oil seven times. But prices have not come down significantly. India imports 60 per cent of its edible oil consumption. The prices have gone up significantly after the Russia-Ukraine war that has disrupted supply of sunflower oil from the Black sea region.<br /><br />Traders say India's import of edible oil is so huge that prices go up in the international market immediately after the Indian government cuts import duty. This does not allow prices to come down significantly in the domestic market.<br /><br />The move comes two days after the government cut excise duty on petrol and diesel and also waived import duty on some raw materials used in steel and plastic industry.<br /><br />The consumer price inflation has nearly touched 8 per cent in the country forcing the RBI to make loans costlier but it impacts demand in a pandemic-ridden economy and choke growth.</p>
