India’s Palm Oil Imports Flat in DecemberThursday, January 18, 2018
The Solvent Extractors Association of India (SEA) said last week the country’s palm oil imports remained flat at 722,857 tons in December due to the increase in the import duty. India, the world’s leading vegetable oil buyer, imported 723,158 tons palm oil in December 2016. The country’s total vegetable oil imports declined 10% to 1,088,783 tons in December 2017 compared to 1,209,685 tons in the year-earlier period. Palm oil accounts for more than 60% of the country’s total vegetable oil imports.
In November, the government raised the import duty on edible oils by 12.5% to 15% across the board to ensure farmers get remunerative prices for their produce. The second objective of the hike in import duty was to offset the export duty imposed by palm oil exporting countries especially Malaysia and Indonesia. SEA said the increase in import duty by India led to Malaysia suspending the export taxes on crude palm oil (CPO) for a three month period effective January 8, 2018, and with this export duty on CPO will be nil.