In accordance with the international market, the Centre on Friday instructed edible oil associations to immediately lower the maximum retail price (MRP) of the major edible oils by Rs 8–12 per litre. Following a meeting chaired by food secretary Sanjeev Chopra with the industry representatives, the food ministry advised the companies that haven’t lowered their prices and are still higher than other brands to reduce them.
It stated that in order to prevent any dilution of the price drop, manufacturers and refiners must immediately lower their prices to distributors. It was also emphasised that whenever manufacturers or refiners lower their prices for distributors, the benefit should be passed on to consumers by the industry so that the ministry can be updated frequently.
According to the ministry, Indian consumers can expect to pay less for their edible oils as the price of edible oils continues to decline and is expected to be further reduced by the edible oil industry. If there are any inflation concerns, the falling prices for edible oil will help to ease them. In the second meeting held within a month to discuss further lowering of retail prices of edible oils amid a continued decline in global prices, industry representatives from the Solvent Extraction Association of India and the Indian Vegetable Oil Producers’ Association were present.
The edible oil industry must make sure that prices on the domestic market decrease proportionately to the continued decline in international prices of imported edible oils, the Ministry of food and Agriculture stated during the meeting. The industry was instructed to make sure that the price decrease in the global market is quickly passed on to the final consumers, rather than slowly as is happening right now.”The leading edible oil associations were advised to take up the issue with their members immediately and ensure that the maximum retail price (MRP) of the major edible oils be reduced further by Rs 8-12 per litre with immediate effect,” the ministry said in a statement released after the meeting.
