While petrol and diesel prices continue to rise and strain household budgets, edible oil is also eating into monthly incomes faster than many families expected. Edible oil prices are witnessing a sharp upward trend, driven by a combination of high demand and global supply chain disruptions due to US-Iran conflict. As of June, the wholesale prices across a variety of edible oils for a 15 kg tin have risen sharply by approximately Rs 40 to Rs 100, as compared to the previous month of May. Soyabean oil prices have jumped to around Rs 2,510-2,520 per 15 kg tin in the wholesale market, compared to Rs 2,470-2,480 about 15-20 days ago. Experts have said that the price surge is not limited to soyabean oil, but other edible oils have also been impacted, like rice brand oil reaching Rs 2,470-80 per 15 kg tin, as compared to Rs 2,360-70 per 15 kg tin about 15-20 days ago.

 

 

“Edible oil prices are gradually rising these days due a various factors including strong domestic demand and geopolitical tensions like the ongoing conflicts in West Asia, which has disrupted supply chains and increased shipping costs. Due to these reasons the edible oil prices have firmed up by Rs 40 to Rs 100 in the wholesale market,” said Rajesh Thakkar, President of Oil Merchants Association and owner of Shantilal Oils Pvt Ltd, Itwari while speaking to The Hitavada. In the wholesale market, soyabean oil is being quoted at Rs 2,510-20 per 15 kg tin, palm oil is being quoted at Rs 2,460-2,470 per 15 kg tin, groundnut oil prices are being quoted at Rs 2,780-90 for 15 kg tin and rice bran is being quoted at Rs 2,470-80 per 15 kg tin.

 

In retail, soyabean oil is available at Rs 160 per litre pouch, groundnut oil at Rs 190 per litre pouch, rice bran at Rs 158 per litre pouch, and sunflower oil at Rs 175 per litre pouch, he said. “India is dependent on international oil prices as imports constitute more than 60 per cent of the domestic consumption requirement in a year. India’s total domestic consumption is estimated at 2.10 lakh tonne to 2.15 lakh tonne per year. While domestic production is 90 lakh tonne to 95 lakh tonne, whereas imports are at 1.15 lakh tonne annually. Soyabean oil is imported in bulk quantities from Argentina and Brazil,” he further added.