New Delhi: Despite promises to sell subsidised palmoline oil through the PDS, the Delhi Government may backtrack on its commitment as the price of edible oil has decreased drastically in the global market.
“In all probability, the oil will not be sold through the PDS system as was promised by state Chief Minister Sheila Dikshit a few months ago,” a government official said.
“The market price of the palmoline oil is currently much lower than what we are being asked to shell out by Nafed which has imported the cooking oil for us,” a senior government official said.
Not keen to suffer losses, the Delhi Government has refused to pay a hefty sum of Rs9 crore for the item which it said has no taker in view of the high cost.
“We have sent feelers to the Centre about our inclination not to lift the 20 lakh litres of oil lying at Kandala port in Gujarat,” the officer said.
“Initially we had plans to allow the shopkeepers to sell the oil at Rs52 per litre that include their commission. But with the falling prices, edible oil is available at much cheaper rate and why will anybody be keen to purchase costlier oil,” he asked.
However, the Centre, not impressed by the Dikshit government’s stand, has reminded that “it cannot backtrack from its commitment made when the prices of edible oil were skyrocketing in the local market”.