Centre Govt Cuts Edible Oil Import Duties Ahead of Festive Season

The government on Thursday reduced the Basic Customs Duty (BCD) on major imported crude edible oils in an effort to moderate domestic prices, provide relief to consumers and contain inflationary pressures arising from rising global edible oil costs.

Under the revised duty structure, the BCD on crude sunflower oil has been slashed from 10 per cent to zero, while the duty on crude soybean oil and crude palm oil has been reduced from 10 per cent to 5 per cent.

At the same time, the



government has lowered the applicable customs duty on refined edible oils while retaining a duty differential of 19.25 per cent between crude and refined oils. The move comes amid a sharp increase in international edible oil prices, which has pushed up import costs and contributed to higher retail prices in the domestic market.

As India relies significantly on imports to meet its edible oil demand, import duties play a key role in determining the landed cost of products and their final selling prices.