The edible oil prices are crashing because of good supply of the new produce coming in the wholesale market and record high imports in the month of January. On account of these factors, the edible oil prices have dropped by another Rs 40 to Rs 50 per 15 kg tin as compared to one month ago prices in the wholesale market. “Russia and Ukraine have liquidated their stock of sunflower oil in the international market, therefore its price has dropped by another Rs 50 per 15 litre tin in the Indian wholesale market,” said Rajesh Thakkar, President of Oil Merchants Association and owner of Shantilal Oils Pvt Ltd, Itwari while speaking to The Hitavada. Currently, soyabean oil is being quoted at Rs 2,040 per 15 litre tin compared to Rs 2,100 per 15 litre tin in the wholesale makret.

 

Apart from this, Thakkar further said that this seasons soyabean crop is estimated to exceed previous seasons production by a good margin which would put pressure on the prices. At present, the soyabean oil is being imported from Argentina and Thailand to meet the shortfall in domestic demand. In the wholesale market, the soyabean oil prices are being quoted at Rs 2,040 per 15 kg tin, as compared to Rs 2,200 per 15 kg tin one month ago. Similarly, mustard oil at Rs 2,100 per 15 kg tin, compared to Rs 2,250 per 15 kg tin one month ago and palm oil at Rs 1,600 per 15 kg tin, compared to Rs 1,700 per 15 kg tin one month ago. On the other hand, groundnut oil is being quoted at Rs 2,670 per 15 kg tin, as compared to one month ago at Rs 2,620 per 15 kg tin, a rise of Rs 50 per 15 kg tin. A major reason for the rise in groundnut oil prices is a result of China buying the produce in bulk quantities from Gujarat, one of the major groundnut growing States in the country, said sources in the market. Thakkar said that edible oil prices are under pressure as India has imported record 11 lakh tonne of palm oil from Thailand, 5 lakh tonne soyabean oil from Argentina and 4.5 lakh tonne of sunflower oil from USSR and Ukraine. In retail, the soyabean oil 1 litre packets are being sold at Rs 130 per packet compared to 15 days ago at Rs 140 per packet.