In a week, wholesale edible oil prices have jumped by up to Rs 15 a liter due to tensions between Russia and Ukraine. In the last two days, the price has increased by Rs 10 to 12 per liter. If the situation between the two countries remains the same or worsens, then oil traders are predicting further increase in prices.
The war that broke out between Russia and Ukraine is now beginning to affect the Indian market as well. In the coming days also, if the similar confrontation between the two countries continues, then there may be a tremendous jump in the prices of edible oil in the Indian market. At present, the reserves of sunflower oil are available only till mid-April in the country. Due to rising tension, the price of oil has increased by Rs 10-12 per liter in the last two days.
In fact, India imports 2.5 million tonnes of sunflower oil annually. Of these, 90 percent comes from Russia and Ukraine. Because both these countries are big exporters of oil. Sunflower is the third edible oil in the country after palm and soybean oil, which is imported on a large scale.
India has a demand of 23 million tonnes of edible oil every year
Officials of All India Edible Oil Traders Federation said in a discussion with AnyTV that due to inadequate production of oilseeds in the country, India has to source 60 percent of the total demand for edible oil from outside. There is an annual demand of around 23 million tonnes of edible oil in the country. If the military conflict between Russia and Ukraine continues for a long time, trade activity at the ports could be reduced. This may increase dependence on oil and soybean oil. Here, already the supply of these two oils is in a weak position.
Crude soybean oil prices 54 percent higher than last year
People associated with this business tell AnyTV that India imports an average of 2.0-2.5 lakh tonnes of sunflower oil every month. About 70 percent of them come from Ukraine and 20 percent from Russia. The remaining 10 per cent is imported from Argentina. During the last one year, the price of crude sunflower oil has increased by more than 14.4 percent.
Palm and soybean oil prices have seen an even higher rise. Palm oil supplies have been affected, among other factors, including sanctions in Indonesia and labor shortages in the country’s major producing states. Because of this, its prices have increased drastically during the last one year. If we look at the data, on February 25, the prices of crude palm oil, which came from outside, were about 63 percent higher than the same period last year, while the price of crude soybean oil was about 54 percent higher than last year.
Sunflower oil has enough stock till April
People associated with this industry told AnyTV that at present the ports in Ukraine are closed and the movement of ships is completely closed. If the fighting between Russia and Ukraine continues like this, the availability of sunflower oil could be reduced by the end of March. At present, there is sufficient stock of sunflower oil in the country till mid-March-April. But if the situation does not improve between the two, then consumers can use other alternative oils including soybean. This will also lead to an increase in their prices. There was some reduction in the prices of edible oils since Thursday and it is expected that the situation will improve in the coming week. But if the situation does not return to normal, the Center may have to cut the charges once again.
oil prices started rising
In a week, wholesale edible oil prices have jumped by up to Rs 15 a liter due to tensions between Russia and Ukraine. In the last two days, the price has increased by Rs 10 to 12 per liter. If the situation between the two countries remains the same or worsens, then oil traders are predicting further increase in prices.
In a discussion with AnyTV, the Edible Oil Union says that edible oil in India comes from abroad. These days, the arrival of sunflower from Ukraine, palm from Indonesia, Malaysia, soya oil from Argentina and Brazil has reduced. Due to this, the price of oil has increased by up to Rs 15 a liter in the last seven days and by up to Rs 12 a liter in two days. Similarly, the price of sunflower oil rose by Rs 10 to Rs 167 to 168 per liter in a day. Seven days ago its price was Rs 150 per liter.
Expansion
The war that broke out between Russia and Ukraine is now beginning to affect the Indian market as well. In the coming days also, if the similar confrontation between the two countries continues, then there may be a tremendous jump in the prices of edible oil in the Indian market. At present, the reserves of sunflower oil are available only till mid-April in the country. Due to rising tension, the price of oil has increased by Rs 10-12 per liter in the last two days.
In fact, India imports 2.5 million tonnes of sunflower oil annually. Of these, 90 percent comes from Russia and Ukraine. Because both these countries are big exporters of oil. Sunflower is the third edible oil in the country after palm and soybean oil, which is imported on a large scale.
India has a demand of 23 million tonnes of edible oil every year
Officials of All India Edible Oil Traders Federation said in a discussion with AnyTV that due to inadequate production of oilseeds in the country, India has to source 60 percent of the total demand for edible oil from outside. There is an annual demand of around 23 million tonnes of edible oil in the country. If the military conflict between Russia and Ukraine continues for a long time, trade activity at the ports could be reduced. This may increase dependence on oil and soybean oil. Here, already the supply of these two oils is in a weak position.
Crude soybean oil prices 54 percent higher than last year
People associated with this business tell AnyTV that India imports an average of 2.0-2.5 lakh tonnes of sunflower oil every month. About 70 percent of them come from Ukraine and 20 percent from Russia. The remaining 10 per cent is imported from Argentina. During the last one year, the price of crude sunflower oil has increased by more than 14.4 percent.
Palm and soybean oil prices have seen an even higher rise. Palm oil supplies have been affected, among other factors, including sanctions in Indonesia and labor shortages in the country’s major producing states. Because of this, its prices have increased drastically during the last one year. If we look at the data, on February 25, the prices of crude palm oil, which came from outside, were about 63 percent higher than the same period last year, while the price of crude soybean oil was about 54 percent higher than last year.
Sunflower oil has enough stock till April
People associated with this industry told AnyTV that at present the ports in Ukraine are closed and the movement of ships is completely closed. If the fighting between Russia and Ukraine continues like this, the availability of sunflower oil could be reduced by the end of March. At present, there is sufficient stock of sunflower oil in the country till mid-March-April. But if the situation does not improve between the two, then consumers can use other alternative oils including soybean. This will also lead to an increase in their prices. There was some reduction in the prices of edible oils since Thursday and it is expected that the situation will improve in the coming week. But if the situation does not return to normal, the Center may have to cut the charges once again.
oil prices started rising
In a week, wholesale edible oil prices have jumped by up to Rs 15 a liter due to tensions between Russia and Ukraine. In the last two days, the price has increased by Rs 10 to 12 per liter. If the situation between the two countries remains the same or worsens, then oil traders are predicting further increase in prices.
In a discussion with AnyTV, the Edible Oil Union says that edible oil in India comes from abroad. These days, the arrival of sunflower from Ukraine, palm from Indonesia, Malaysia, soya oil from Argentina and Brazil has reduced. Due to this, the price of oil has increased by up to Rs 15 a liter in the last seven days and by up to Rs 12 a liter in two days. Similarly, the price of sunflower oil rose by Rs 10 to Rs 167 to 168 per liter in a day. Seven days ago its price was Rs 150 per liter.