2 min read.Updated: 11 Oct 2021, 06:03 AM ISTLivemint
This decision will soften the prices of edible oils in the domestic market
The high prices of edible oil in international market has a substantial impact on the domestic edible oil prices
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In a landmark decision, the Department of Food and Public Distribution has imposed stock limits on Edible Oils and Oilseeds for a period upto 31st March, 2022.
In a release the department said, the Removal of Licensing Requirements, Stock Limits and Movement Restrictions on Specified Foodstuffs (Amendment) Order, 2021 has been issued with immediate effect i.e. from 8th September, 2021. Future trading on Mustard Oil and Oilseeds was suspended in NCDEX w.e.f 8 October, 2021.
This decision will soften the prices of edible oils in the domestic market. The high prices of edible oil in international market has a substantial impact on the domestic edible oil prices.
The release said, under the visionary leadership of PM Narendra Modi, Government of India has formulated a multi- pronged strategy to ensure that the prices of essential commodities like edible oils remain controlled. Measures like rationalization of import duty structure, launching of a web-portal for self-disclosure of stocks held by various stakeholders etc. had already been taken.
In a consistent effort to further cool down the domestic prices of Edible Oils, the Centre has issued the order which was shared with all States, the release said.
The stock limit of all Edible Oils and Oilseeds will be decided by the respective States Government/UT on the basis of available stock and consumption pattern with the following exceptions:
An exporter, being a refiner, miller, extractor, wholesaler or retailer or dealer, having Importer-Exporter Code Number issued by the Director General of Foreign Trade, if such exporter is able to demonstrate that the whole or part of his stock in respect of edible oils and edible oilseeds are meant for exports, to the extent of the stock meant for export.
An importer, being a refiner, miller, extractor, wholesaler or retailer or dealer, if such importer is able to demonstrate that part of his stock in respect of edible oils and edible oilseeds are sourced from imports.
In case, the stocks held by respective legal entities are higher than the prescribed limits then they shall declare the same on the portal of Department of Food & Public Distribution and bring it to the prescribed stock limits as decided by the State/UT administration where it is conducting its business, within 30 days of the issue of such notification by the said authorities.
It shall be ensured by the States Governments / Union Territory Administrations that Edible Oils and Edible Oilseeds stock is regularly declared and updated on the portal of this Department i.e. Department of Food & Public Distribution