Government has raised import tax on edible oil to the highest level with effect from November 2017. The duty increase will effect on oilseed prices and their availability for crushing in the Indian market, helping the country in capping edible oil imports in the 2017-18 marketing year, which started on 1 November.
The import tax on crude palm oil has been increased to 30 percent, at the same time the duty on refined palm oil has been raised to 40percent from 25 percent earlier, the govt said in its order, issued late on Friday. The import tax on crude soyabean oil was increased to 30 percent from 17.50 percent, conversely on refined soyabean oil, it was got effected to 35 percent from 20 percent.
The govt increased import duty to help farmers. However, the increase in oil seeds prices are expected to be marginal, since prices of Soyabean, groundnut etc. are ruling 15 percent to 25 percent below Minimum Support Price.