In what could bring in relief to the consumers, the Centre has directed the leading Edible Oil Associations, an outfit of cooking oil producers, to ensure reduction in the MRP of edible oils by Rs 15 with immediate effect.
The Centre also advised that the price to distributors by the manufacturers and refiners also needs to be reduced immediately so that the price drop is not diluted in any way.
Such directions were issued by the Department of Food and Public Distribution in a meeting on July 6, 2022.
It is pertinent to mention here that international prices of imported edible oils are on a downward trend which is a very positive picture in the edible oil scenario. Hence, the domestic edible oil industry needs to ensure that the prices in the domestic market also drop.
“Whenever a reduction in price to distributors is made by the manufactures/refiners, the benefit should be passed on to the consumers by the industry and the Department may be kept informed on regular basis. Some companies which have not reduced their prices and their MRP is higher than other brands have also been advised to reduce their prices,” a PIB release read.
It may be recalled that in May 2022, the Department had convened a meeting with the leading edible oil associations and according to sources, the MRP of Fortune Refined Sunflower Oil 1 litre pack had been decreased to Rs. 210 from Rs. 220 and MRP of Soyabean (Fortune) and Kachi Ghani oil 1 litre pack from Rs. 205 to Rs. 195. The reduction in oil prices came in the wake of Central Government reducing the import duty on edible oils making them cheaper.