1 | C o m m o d i t y P r o f i l e o f E d i b l e O i l f o r M a y - 2 0 1 6

As on 11.05.2016

Commodity Profile of Edible Oil for May - 2016

Contents

1. Edible Oil estimates for India ( marketing year- November 2015- October 2016) ................ 2

2. Production Trend of Domestic Oilseeds ................................................................................. 2

3. Production Trend of Domestic Edible Oils ............................................................................ 3

4. Global Production Trend of Major Edible Oils ...................................................................... 3

Groundnut oil,Mustrad oil, Sunflower oil, Soyabean oil ...................................................... 3

5. Major Exporting and Importing Countries of Edible Oils ...................................................... 5

Groundnut oil,Mustrad oil, Sunflower oil, Soyabean oil ....................................................... 5

6. India’s import of major edible oils ..................................................................................... 10

7. India’s top import sources of Palm, Soya and Sunflower Oils ............................................. 10

8. Movement of Domestic and International major Edible Oils Prices .................................... 11

9. Domestic future prices of Soya bean and Palm oil……………………………………..…13

10. International future prices of Soya bean and Palmoil…………...…..……………………14

11. Trade Policy .......................................................................................................................... 14

11.1 Import Policy ................................................................................................................. 14

11.2 Export Policy ................................................................................................................. 17

11.3 Bound Duty, Standard Duty and Current Applied Duty ............................................... 18

2 | C o m m o d i t y P r o f i l e o f E d i b l e O i l f o r M a y - 2 0 1 6

1. Edible Oil estimates for India (marketing year- November 2015- October 2016)

(Unit: Million Tonnes)

Table 1:Production, Stocks, Trade and Availability of Edible Oils

2014-15 2015-16

Estimates*

Mar,2016 Source

9.80 9.54 Production - DVVOF

14.35 11.96 Imports 6.59** DOC

24.15 21.50 Availability -

0.59 0.55 Export and Industrial use - DVVOF

23.56 20.95 Total Available for domestic

consumption

-

Source: Directorate of Vanaspati, Vegetable oil and Fats (DVVOF) and Department of Commerce

*For 2015-16 estimates, production and export & industrial use as estimated by Directorate of Vanaspati, Vegetable oil

and Fats (DVVOF) and import is last 3 years average from DGCI&S, Kolkata.

**Figure of import is for the period Nov-Mar, 2015-16.

Availability: Domestic production plus Imports; Total Availability for Domestic Consumption: Availability minus

export and Industrial use.

The estimated figure indicates that domestic production (i.e 9.54 million MT) of edible oils in

2015-16 may be less than that of actual production (i.e 9.80 million MT) in 2014-15.

2. Production Trend of Domestic Oilseeds

Source: Directorate of Economics and Statistics

India’s Soybean production has increased in the last 10 years at CAGR of 1 percent.

Production of Groundnut increased substantially from 4.70 million 2012-13 to 7.4 million

tonnes 2014-15 showing a growth of about 57%. However, production is estimated to be

at 6.89 million tons in 2015-16.

0

2

4

6

8

10

12

14

16

2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16

Mill

ion

To

nn

es

Figure 1: Production Trend of Domestic Oilseeds

Groundnut Rapeseed Soyabean Sunflower

3 | C o m m o d i t y P r o f i l e o f E d i b l e O i l f o r M a y - 2 0 1 6

3. Production Trend of Domestic Edible Oils

Source: Directorate of Vanaspati, Vegetable oil and Fats (DVVOF)

Soybean oil production has increased in the last 10 years at CAGR of 1 percent.

Rapeseed oil production increased from 1.94 Million MT from 2014-15 to 2.11 Million

MT in 2015-16.

4. Global Production Trend of Major Edible Oils

A) Groundnut oil

Source: United States Department of Agriculture

China is expected to be the top producer followed by India and Burma in 2015-16.

India’s share in global production of Groundnut Oil in 2015-16 may be around 20

percent.

0

0.5

1

1.5

2

2.5

3

2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16

Mill

ion

To

nn

es

Figure 2: Production Trend of Domestic Edible oil

Groundnut Oil Rapeseed Oil Soyabean Oil Sunflower Oil

China India Burma Nigeria Sudan Tanzania Senegal USArgentin

aBurkina

2012/13 2.686 1.18 0.27 0.263 0.15 0.133 0.115 0.095 0.074 0.055

2013/14 2.725 1.22 0.27 0.263 0.155 0.133 0.115 0.093 0.085 0.055

2014/15 2.72 1.15 0.27 0.263 0.19 0.133 0.105 0.095 0.07 0.027

2015/16 2.74 1.06 0.27 0.263 0.19 0.133 0.105 0.115 0.08 0.08

0.0

0.5

1.0

1.5

2.0

2.5

3.0

Mill

ion

To

nn

es

Figure 3: Production Trend Groundnut Oil

4 | C o m m o d i t y P r o f i l e o f E d i b l e O i l f o r M a y - 2 0 1 6

B) Mustard Oil

Source: United States Department of Agriculture

European Union (EU) is expected to be the top producer followed by China and Canada

in 2015-16. India may be the fourth largest producer.

India’s share in global production of mustard oil in 2015-16 may be around 9.0 percent.

C) Sunflower oil

Source: United States Department of Agriculture

Ukraine is expected to be the largest producer followed by Russia and EU in 2015-16.

India may be at the 10th

position in global producer.

India’s share in global production of sunflower oil in 2015-16 may be around 1.0 percent.

EU China Canada India Japan US Mexico RussiaPakista

nUAE

2012/13 9.424 6.045 2.95 2.35 1.055 0.573 0.58 0.416 0.395 0.264

2013/14 9.495 6.259 3.16 2.5 1.012 0.704 0.58 0.478 0.415 0.293

2014/15 10.251 6.5 3.23 2.1 1.075 0.717 0.61 0.49 0.474 0.345

2015/16 9.67 6.195 3.07 2.32 1.075 0.714 0.604 0.45 0.454 0.345

0

2

4

6

8

10

12M

illio

n T

on

ne

s

Figure 4: Production Trend Mustard Oil

Ukraine Russia EUArgentin

aTurkey China

SouthAfrica

Pakistan US India

2012/13 3.615 3.117 2.753 0.99 0.769 0.476 0.278 0.285 0.196 0.22

2013/14 4.515 3.851 2.937 1.16 0.875 0.49 0.335 0.313 0.181 0.21

2014/15 4.305 3.57 3.145 1.185 0.725 0.44 0.28 0.29 0.174 0.135

2015/16 4.179 3.69 3.02 1.14 0.663 0.42 0.324 0.255 0.213 0.135

0

1

2

3

4

5

Mill

ion

To

nn

es

Figure 5: Production Trend Sunflower Oil

5 | C o m m o d i t y P r o f i l e o f E d i b l e O i l f o r M a y - 2 0 1 6

D) Soybean oil

Source: United States Department of Agriculture

China, United States, Argentina and Brazil are expected to be the key producers of

Soybean oil in 2015-16.

India’s share in global production of Soybean Oil in 2015-16 may be around 3.5 percent.

5. Major Exporting and Importing Countries of Edible Oils

A. Groundnut oil

Source: Comtrade

Argentina and Brazil were the top two exporting countries of Groundnut oil in 2014-15.

India was the 5th

largest exporting country of groundnut oil in the world in 2014-15.

China USArgenti

naBrazil EU India

Paraguay

Mexico Russia Bolivia

2012/13 11.626 8.99 6.364 6.76 2.317 1.69 0.565 0.653 0.437 0.39

2013/14 12.245 9.036 7.1 7.1 2.242 1.638 0.67 0.69 0.491 0.355

2014/15 13.28 9.662 7.525 7.57 2.642 1.315 0.707 0.765 0.69 0.41

2015/16 14.23 9.804 7.86 7.59 2.755 1.63 0.783 0.78 0.71 0.43

0.002.004.006.008.00

10.0012.0014.0016.00

Mill

ion

To

nn

es

Figure 6: Production Trend Soybean Oil

Argentina Brazil Senegal Nicaragua India Belgium China FranceNetherland

sUS

2011/12 0.038 0.023 0.058 0.011 0.007 0.013 0.009 0.009 0.005 0.007

2012/13 0.058 0.038 0.014 0.015 0.020 0.012 0.008 0.008 0.002 0.009

2013/14 0.041 0.063 0.016 0.016 0.003 0.012 0.007 0.006 0.003 0.005

2014/15 0.083 0.038 0.031 0.019 0.015 0.014 0.010 0.008 0.005 0.005

0.000.010.020.030.040.050.060.070.080.09

Mill

ion

To

nn

es

Figure 7 : Major Exportng countries of Groundnut Oil

6 | C o m m o d i t y P r o f i l e o f E d i b l e O i l f o r M a y - 2 0 1 6

Source: Comtrade

China and Italy were the major importing country of groundnut oil in 2014-15.

B. Mustard oil

Source: Comtrade

Canada was the largest exporter of Mustard oil in the world followed by Germany and

Poland in 2014-15.

China Italy Belgium United States France Hong Kong Netherlands Germany

2011/12 0.061 0.040 0.022 0.015 0.026 0.012 0.005 0.006

2012/13 0.063 0.032 0.016 0.009 0.025 0.008 0.006 0.004

2013/14 0.061 0.034 0.019 0.019 0.019 0.007 0.008 0.004

2014/15 0.094 0.042 0.024 0.020 0.017 0.010 0.009 0.004

0.000.010.020.030.040.050.060.070.080.090.10

Mili

on

To

nn

es

Figure 8 : Major Importing Countries of Groundnut Oil

Canada Germany PolandNetherlan

dsCzech

RepublicRussia UAE UK Belgium France

2011/12 2.528 0.476 0.164 0.573 0.161 0.141 0.293 0.195 0.338 0.610

2012/13 2.692 0.792 0.170 0.415 0.333 0.191 0.268 0.224 0.300 0.292

2013/14 2.287 1.158 0.390 0.519 0.336 0.305 0.274 0.220 0.352 0.299

2014/15 2.368 0.869 0.466 0.443 0.417 0.355 0.346 0.268 0.254 0.238

0.00

0.50

1.00

1.50

2.00

2.50

3.00

Mill

ion

To

nn

es

Figure 9 : Major Exportng Countries of Mustard Oil

7 | C o m m o d i t y P r o f i l e o f E d i b l e O i l f o r M a y - 2 0 1 6

Source: Comtrade

The US and China were the leading importing countries of Mustard oil in the world. India

was the 7th

largest importing country in 2014-15.

C. Sunflower oil

Source: Comtrade

Ukraine and Russia were the top two global exporters of sunflower oil during 2014-15.

US ChinaNetherlan

dsBelgium Norway Germany India Sweden

CzechRepublic

Austria

2011/12 1.515 0.551 0.580 0.381 0.265 0.524 0.012 0.153 0.047 0.150

2012/13 1.427 1.176 0.597 0.327 0.315 0.207 0.102 0.181 0.050 0.131

2013/14 1.272 1.527 0.670 0.341 0.317 0.186 0.039 0.164 0.114 0.127

2014/15 1.586 0.810 0.629 0.443 0.383 0.271 0.252 0.208 0.179 0.168

0.000.200.400.600.801.001.201.401.601.80

Mill

ion

To

nn

es

Figure 10 : Major Importing Countries of Mustard Oil

Ukraine Russia Turkey HungaryNetherlan

dsFrance Argentina Bulgaria Romania Germany

2011/12 2.683 0.493 0.207 0.268 0.440 0.443 0.924 0.121 0.194 0.122

2012/13 3.577 1.467 0.272 0.304 0.423 0.440 0.804 0.132 0.141 0.144

2013/14 3.209 1.358 0.346 0.500 0.534 0.345 0.459 0.193 0.198 0.124

2014/15 4.342 1.629 0.665 0.490 0.448 0.384 0.364 0.330 0.200 0.147

0.000.501.001.502.002.503.003.504.004.505.00

Mill

ion

To

nn

es

Figure 11 : Major Exporting Countries of Sunflower Oil

8 | C o m m o d i t y P r o f i l e o f E d i b l e O i l f o r M a y - 2 0 1 6

Source: Comtrade

India was the largest importer of Sunflower oil followed by Turkey, Netherland and

China during 2014-15.

There is a secular increase in the importation of Sunflower oil of China.

D. Soybean oil

Source: Comtrade

Argentina was the largest exporting country in the world followed by Brazil, US, and

Paraguay during 2014-15.

India TurkeyNetherlan

dsChina Iraq Egypt Italy Spain Germany Iran

2011/12 0.713 0.470 0.353 0.072 0.156 0.263 0.204 0.219 0.323 0.098

2012/13 1.073 0.743 0.482 0.107 0.219 0.675 0.283 0.293 0.249 0.323

2013/14 1.086 0.632 0.690 0.436 0.213 0.447 0.287 0.324 0.262 0.214

2014/15 1.641 0.829 0.541 0.455 0.438 0.437 0.411 0.353 0.345 0.338

0.000.200.400.600.801.001.201.401.601.80

Mill

ion

To

nn

es

Figure 12 : Major Importing Countries of Sunflower Oil

Argentina

Brazil USParagua

ySpain

Germany

Netherlands

Bolivia RussiaMalaysi

a

2011/12 4.42 1.75 1.00 0.23 0.35 0.34 0.35 0.22 0.13 0.14

2012/13 3.78 1.76 0.95 0.12 0.59 0.43 0.39 0.26 0.15 0.14

2013/14 4.26 1.36 0.82 0.52 0.65 0.32 0.51 0.30 0.19 0.13

2014/15 4.06 1.31 0.89 0.63 0.47 0.38 0.38 0.36 0.34 0.16

0.000.501.001.502.002.503.003.504.004.505.00

Mill

ion

To

nn

es

Figure 13 : Major Exporting Countries of Soybean Oil

9 | C o m m o d i t y P r o f i l e o f E d i b l e O i l f o r M a y - 2 0 1 6

Source: Comtrade

India was the largest importer of soybean oil that constituted 17.55 percent of the global

import in the year 2014-15.

E. Palm oil

Source: Comtrade

Indonesia and Malaysia hold both competitive as well as comparative advantage in

exportation of Palm oil in the world.

India China AlgeriaBanglad

eshVenezue

laMorocc

oPeru

Colombia

SouthKorea

Iran

2011/12 0.939 1.143 0.484 0.878 0.412 0.415 0.315 0.238 0.301 0.633

2012/13 1.094 1.826 0.465 0.374 0.379 0.391 0.344 0.241 0.340 0.505

2013/14 1.108 1.158 0.623 0.350 0.407 0.371 0.363 0.224 0.287 0.801

2014/15 2.106 1.135 0.625 0.508 0.493 0.438 0.355 0.299 0.266 0.248

0.00

0.50

1.00

1.50

2.00

2.50

Mill

ion

To

nn

es

Figure 14 : Major Importng Countries of Soybean Oil

Indonesia Malaysia NetherlandsPapua New

GuineaGuatemala

2011/12 16.44 15.78 1.30 0.67 0.22

2012/13 18.85 15.61 1.23 0.67 0.27

2013/14 20.58 15.24 1.44 0.57 0.36

2014/15 22.89 15.14 1.39 0.56 0.40

0.00

5.00

10.00

15.00

20.00

25.00

Mill

ion

To

ns

Figure 15: Major Exporting Countries of Palm Oil

10 | C o m m o d i t y P r o f i l e o f E d i b l e O i l f o r M a y - 2 0 1 6

Source: Comtrade

India is the largest importer of Palm oil in the world followed by China, EU and Pakistan.

6. India’s import of major edible oils

(Million Tonnes)

Table 2:India’s Import of Major Edible Oils during 2011-12 to 2015-16

Year Soybean Oil Palm Oil Sunflower Oil

2011-12 0.8 6.5 0.8

2012-13 1.1 8.4 1.1

2013-14 1.3 7.6 1.1

2014-15 2.3 8.1 1.7

2015-16(April-Feb) 3.5 9.0 1.3

Source: Department. Of commerce

India imports substantial amount of edible oils for its domestic consumption. Among all

edible oils importation into India, Palm oil importation share is around 70-80 percent.

7. India’s top import sources of Palm, Soya and Sunflower Oils

Table 3: India’s Top Import Sources of Palm, Soya and Sunflower Oils

Edible Oils Import Source

Soybean Oil Argentina and Brazil

Palm Oil Indonesia and Malaysia

Sunflower Ukraine and Mexico Source: Department of Commerce

India ChinaNetherlan

dsPakistan Italy

Bangladesh

Spain GermanyUnited

States ofAmerica

RussianFederation

2011/12 5.973 5.912 1.754 2.017 0.964 2.095 0.589 1.134 1.088 0.631

2012/13 7.653 6.341 2.592 2.036 1.048 0.989 0.580 1.224 0.991 0.659

2013/14 8.390 5.979 2.962 2.249 1.392 1.027 0.903 1.467 1.373 0.747

2014/15 7.933 5.324 2.509 2.353 1.756 1.322 1.300 1.200 1.188 0.706

0.00

1.00

2.00

3.00

4.00

5.00

6.00

7.00

8.00

9.00

Mill

ion

To

nn

es

Figure 16: Major Importing Countries of Palm oil

11 | C o m m o d i t y P r o f i l e o f E d i b l e O i l f o r M a y - 2 0 1 6

8. Movement of Domestic and International Edible Oils Prices

I. Groundnut oil

Source: Domestic Price Agriwatch and International Price are FAO Prices.

Domestic prices of Groundnut oil are lower than that of International prices during June

2013 to April 2014 and June 2014 to December 2014.

II. Mustard oil

Source: Domestic Price Agriwatch and International Price are FAO Prices.

Domestic price of Mustard Oil is higher than that of International prices throughout the

years.

60000

70000

80000

90000

100000

110000

120000

130000

Ap

r-1

3

May

-13

Jun

-13

Jul-

13

Au

g-1

3

Sep

-13

Oct

-13

No

v-1

3

Dec

-13

Jan

-14

Feb

-14

Mar

-14

Ap

r-1

4

May

-14

Jun

-14

Jul-

14

Au

g-1

4

Sep

-14

Oct

-14

No

v-1

4

Dec

-14

Jan

-15

Feb

-15

Mar

-15

Ap

r-1

5

May

-15

Jun

-15

Jul-

15

Au

g-1

5

Sep

-15

Oct

-15

No

v-1

5

Dec

-15

Jan

-16

Feb

-16

Mar

-16

Ap

r-1

6

Rs

pe

r To

nn

es

Figure 17: Movement of Groundnut Oil Price

Domestic (Rajkot, Refined without VAT) International (Any origin, cif Rotterdam)

40000

50000

60000

70000

80000

90000

100000

Ap

r-1

3M

ay-1

3Ju

n-1

3Ju

l-1

3A

ug-

13

Sep

-13

Oct

-13

No

v-13

Dec

-13

Jan

-14

Feb

-14

Mar

-14

Ap

r-1

4M

ay-1

4Ju

n-1

4Ju

l-1

4A

ug-

14

Sep

-14

Oct

-14

No

v-14

Dec

-14

Jan

-15

Feb

-15

Mar

-15

Ap

r-1

5M

ay-1

5Ju

n-1

5Ju

l-1

5A

ug-

15

Sep

-15

Oct

-15

No

v-15

Dec

-15

Jan

-16

Feb

-16

Mar

-16

Ap

r-1

6

Rs

pe

r To

nn

es

Figure 18: Movement of MustardOil Price

Domestic (Kota, Expeller without VAT) International (Rape oil (Dutch, fob ex-mill)

12 | C o m m o d i t y P r o f i l e o f E d i b l e O i l f o r M a y - 2 0 1 6

III. Sunflower oil

Source: Domestic Price Agriwatch and International Price are CIF Ukraine origin Prices.

Domestic prices of Sunflower oil are higher that International prices throughout.

IV. Soybean oil

Source: Domestic Price Agriwatch and International Price are CIF Argentina origin Prices.

Domestic price of soybean oil are higher than International prices throughout period.

50000

55000

60000

65000

70000

75000

80000

85000

90000

Ap

r-1

3M

ay-1

3Ju

n-1

3Ju

l-1

3A

ug-

13

Sep

-13

Oct

-13

No

v-1

3D

ec-1

3Ja

n-1

4Fe

b-1

4M

ar-1

4A

pr-

14

May

-14

Jun

-14

Jul-

14

Au

g-1

4Se

p-1

4O

ct-1

4N

ov-

14

Dec

-14

Jan

-15

Feb

-15

Mar

-15

Ap

r-1

5M

ay-1

5Ju

n-1

5Ju

l-1

5A

ug-

15

Sep

-15

Oct

-15

No

v-1

5D

ec-1

5Ja

n-1

6Fe

b-1

6M

ar-1

6A

pr-

16

Rs

pe

r To

nn

es

Figure 19: Movement of Sunflower Oil Price

Domestic (Chennai, Refined & Expeller with VAT) International Sun oil (CIF Ukraine Origin)

40000

45000

50000

55000

60000

65000

70000

75000

Ap

r-1

3M

ay-1

3Ju

n-1

3Ju

l-1

3A

ug-

13

Sep

-13

Oct

-13

No

v-1

3D

ec-1

3Ja

n-1

4Fe

b-1

4M

ar-1

4A

pr-

14

May

-14

Jun

-14

Jul-

14

Au

g-1

4Se

p-1

4O

ct-1

4N

ov-

14

Dec

-14

Jan

-15

Feb

-15

Mar

-15

Ap

r-1

5M

ay-1

5Ju

n-1

5Ju

l-1

5A

ug-

15

Sep

-15

Oct

-15

No

v-1

5D

ec-1

5Ja

n-1

6Fe

b-1

6M

ar-1

6A

pr-

16

Rs

pe

r To

nn

es

Figure 20: Movement of SoybeanOil Price

Domestic (Indore, Refined without VAT) International(Soya oil CIF Argentina origin)

13 | C o m m o d i t y P r o f i l e o f E d i b l e O i l f o r M a y - 2 0 1 6

V. Palm oil

Source: International landing Price at Kandla, Agriwatch.

International price of palm oils are showing increasing trend from November 2015.

9. Domestic future prices of Soya bean and Palm oil

Unit: Rs/Quintal

Table – 4: Soya bean oil future prices

Contract

Month

As on

05.05.16

Week

ago

28.04.16

Month ago

5.04.16

3 Months ago

05.02.15

6 Months

ago

05.11.15

Year

ago

05.05.15

% Change over

previous year

May-16 6390 6490 6574 6130.5 6246 5936.5 7.64

June-16 6504 6586 6592 6130 6186 5959 9.15

July-16 6512.5 6582 6610 6119.5 6139 5869.5 10.95

Aug-16 6510 6578.5 6627 6131.5 - 6024.5 8.06 Source: National Commodity & Derivatives Exchange Limited

Domestic future price for Crude Soya bean oil is expected to increase over the previous year.

Unit: Rs/Quintal

Table – 5: Crude Palm oil future prices

Contract

Month

As on

05.05.16

Week ago

28.04.16

Month ago

05.04.16

3 Months

ago 05.2.16

6 Months

ago

05.11.15

Year ago

05.05.15

% Chang

over 6

months

May-16 5485 5486 5550 4700 4250 - 29.06

June-16 5333 5395 5588 4695 4250 - 25.48

July -16 5333 5395 5588 4695 4250 - 25.48 Source:Multi Commodity Exchange of India Ltd

Domestic future price for Crude Palm oil is expected to increase over the six months.

30000

35000

40000

45000

50000

55000

60000

Ap

r-1

3M

ay-1

3Ju

n-1

3Ju

l-1

3A

ug-

13

Sep

-13

Oct

-13

No

v-1

3D

ec-1

3Ja

n-1

4Fe

b-1

4M

ar-1

4A

pr-

14

May

-14

Jun

-14

Jul-

14

Au

g-1

4Se

p-1

4O

ct-1

4N

ov-

14

Dec

-14

Jan

-15

Feb

-15

Mar

-15

Ap

r-1

5M

ay-1

5Ju

n-1

5Ju

l-1

5A

ug-

15

Sep

-15

Oct

-15

No

v-1

5D

ec-1

5Ja

n-1

6Fe

b-1

6M

ar-1

6A

pr-

16

Rs

pe

r To

nn

es

Figure 21: Movement of Palm Oil Price

Palm oil International prices at Kandla, Crude 5% FFA

14 | C o m m o d i t y P r o f i l e o f E d i b l e O i l f o r M a y - 2 0 1 6

10. International future prices of Soya bean and Crude Palm Oil

Unit: USD/Tonnes

Table – 6: Soya bean oil future prices

Contract

Month

As on

05.05.16

Week ago

28.04.16

Month ago

05.04.16

3 Months

ago

05.02.16

6 Months

ago

05.11.15

Year ago

05.05.15

% Change

over

previous

year

May -16 705.69 728.62 749.34 693.79 628.75 724.87 -2.65

Jul -16 711.2 733.47 755.08 698.86 632.94 728.62 -2.39

Aug-16 713.85 735.9 757.28 699.52 634.7 728.84 -2.06

Sept-16 716.94 738.76 759.71 700.18 635.59 729.06 -1.66

Oct-16 719.8 741.19 761.03 699.52 635.37 728.18 -1.15

Dec-16 725.31 745.82 764.56 700.4 613.54 731.27 -0.81

International future prices of Soya bean are expected to decrease over the last year.

Unit: USD/Tonnes

Table – 7: Palm oil future prices

Contract

Month

As on

06.05.16

Week ago

29.04.16

Month ago

06.04.16

3 Months

ago

06.02.15

6 Months

ago

06.11.15

Year ago

06.05.15

% Change

over

previous

year

May -16 657.76 658.47 689.58 621.42 567.91 623.53 5.49

Jul -16 657.51 664.1 690.6 608.66 567.91 631.65 4.09

Sept-16 645.28 656.16 672.2 599.28 566.52 613.17 5.24

Nov-16 638.29 649.5 656.62 596.87 515.44 610.92 4.48

International future prices of Palm oil are expected to increase over the last year.

11. Trade Policy

11.1 Import Policy

Table-8: Import Policy

HS Code Item Description Policy

Conditions

Remarks

1507 Soya-bean oil and its fractions, whether or not

refined, but not chemically modified

1507 10 00 Crude, whether or not degummed Free

1507 90 Other:

1507 90 10 Edible grade Free

1507 90 90 Other Free

1508 Groundnut Oil and its fractions, whether or not

refined but not chemically modified

1508 10 00 Crude Free

1508 90 Other:

1508 90 10 Deodorized (Salad Oil) Free

Other :

1508 90 91 Edible Grade Free

1508 90 99 Other Free

1509 Olive Oil and its fractions, whether or not refined

but not chemically modified

1509 10 00 Virgin Free

15 | C o m m o d i t y P r o f i l e o f E d i b l e O i l f o r M a y - 2 0 1 6

1509 90 Other:

1509 90 10 Edible grade Free

1509 90 90 Other Free

1510 Other Oils and their fractions, obtained, solely from

olives, whether or not refined, but not chemically

modified, including blends of these oils or fractions

with oils or fractions of heading 1509

1510 00 10 Crude oil Free

1510 00 91 Edible Grade Free

1510 00 99 Other Free

1511 Palm Oil and its fractions, whether or not refined,

but not chemically modified

1511 10 00 Crude Free Import not permitted through

any port in Kerala.

1511 90 Other:

1511 90 10 Refined bleached deodorised palm oil Free Import not permitted through

any port in Kerala.

1511 90 20 Refined bleached deodorized palmolein Free Import not permitted through

any port in Kerala.

1511 90 90 Other Free Import not permitted through

any port in Kerala.

1512 Sunflower Seed, Safflower or Cotton Seed Oil and

their fractions thereof, whether or not refined, but

not chemically modified

Sunflower Seed or Safflower Oil and fractions

thereof :

1512 11 Crude Oil:

1512 11 10 Sunflower Seed Oil Free

1512 11 20 Safflower Seed Oil (Kardi Seed Oil) Free

1512 19 Other:

1512 19 10 Sunflower oil, edible grade Free

1512 19 20 Sunflower oil, non-edible grade(other than crude

oil)

Free

1512 19 30 Saffola oil, edible grade Free

1512 19 40 Saffola oil, non-edible grade Free

1512 19 90 Other Free

Cotton Seed Oil and its fractions:

1512 21 00 Crude Oil, whether or not gossypol has been

removed

Free

1512 29 Other:

1512 29 10 Edible grade Free

1512 29 90 Other Free

1513 Coconut (Copra), Palm Kernel or Babassu oil and

fractions thereof, whether or not refined, but not

chemically modified

Coconut (Copra) oil and its fractions:

1513 11 00 Crude oil Import allowed through STC

subject to para 2.11 of Foreign

Trade Policy.

1513 19 00 Other Import allowed through STC

subject to para 2.11 of Foreign

Trade Policy.

Palm Kernel or Babassu oil and fractions thereof:

1513 21 Crude Oil:

1513 21 10 Palm Kernel Oil Free Import not permitted through

any port in Kerala.

1513 29 Other:

1513 29 10 Palm Kernel Oil and its fractions Free Import not permitted through

any port in Kerala.

1513 29 20 Babassu Oil and fractions edible grade Free

1513 29 30 Babassu Oil and fractions, other than edible grade Free

1513 29 90 Other Free

16 | C o m m o d i t y P r o f i l e o f E d i b l e O i l f o r M a y - 2 0 1 6

1514 Rape, Colza or Mustard oil and its fractions thereof,

whether or not refined , but not chemically modified

Low erucic acid rape or colza oil and its factions:

1514 11 Crude oil:

1514 11 10 Colza Oil Free

1514 11 20 Rape Oil Free

1514 11 90 Other Free

1514 19 Other:

1514 19 10 Refined colza oil of edible grade Free

1514 19 20 Refined mustard oil of edible grade Free

1514 19 90 Other Free

Other:

1514 91 Crude oil:

1514 91 10 Colza Oil Free

1514 91 20 Mustard Oil Free

1514 91 90 Rapeseed Oil Free

1514 99 Other:

1514 99 10 Refined colza oil of edible grade Free

1514 99 20 Refined mustard oil of edible grade Free

1514 99 30 Refined rapeseed oil of edible Free

1514 99 90 Other Free

1515 Other fixed vegetable fats and Oils (including

Jojoba oil) and their fractions, whether or not

refined, but not chemically modified

Linseed Oil and its fractions :

1515 11 00 Crude Oil Free

1515 19 Other:

1515 19 10 Edible grade Free

1515 19 90 Other Free

Maize (Corn) Oil and its fractions:

1515 21 00 Crude oil Free

1515 29 Other:

1515 29 10 Edible grade Free

1515 29 90 Other Free

1515 30 Castor Oil and its fractions:

1515 30 10 Edible grade Free

1515 30 90 Other Free

1515 50 Seasame oil and its fractions:

1515 50 10 Crude oil Free

Other:

1515 50 91 Edible grade Free

1515 50 99 Other Free

1515 90 Other:

1515 90 10 Fixed vegetable oils, namely the

following:Chulmoogra oil, Mawra oil, Kokam oil,

Tabacco seed Oil, Sal Oil

Free

1515 90 20 Fixed vegetable Oils, namely the following: Neem

Seed Oil, Karanj Oil, Silk cotton Seed Oil, Khakhon

Oil, Water Melon Oil, Kusum Oil, Rubber seed Oil,

Dhup Oil, Undi Oil, Maroti Oil, Pisa Oil, Nahar Oil

Free

1515 90 30 Fixed Vegetable Oils, namely the following :

Cardamom Oil, Chillies/ Capsicum Oil, Turmeric

Oil, Ajwain Seed Oil, Niger Seed Oil, Garlic Oil

Free

1515 90 40 Fixed Vegetable Oils of edible grade namely:

Mango Kernel Oil, Mahua Oil, Rice bran Oil

Free

Other:

1515 90 91 Edible grade Free

1515 90 99 Other Free

1516 Animal or Vegetable fats and oils and their

fractions, partly or wholly hydrogenated, inter-

esterified, re-esterified or eladlnised, whether or not

17 | C o m m o d i t y P r o f i l e o f E d i b l e O i l f o r M a y - 2 0 1 6

refined, but not further prepared

1516 10 00 Animal fats and oils and their fractions Prohibited Not permitted to be imported

1516 20 Vegetable fats and oils and their fractions:

Cotton Seed oil :

1516 20 11 Edible grade Free

1516 20 19 Other Free

Ground nut oil:

1516 20 21 Edible grade Free

1516 20 29 Other Free

Hydrogenated Castor oil (opal wax):

1516 20 31 Edible grade Free

1516 20 39 Other Free

Other:

1516 20 91 Edible grade Free

1516 20 99 Other Free

Source: Directorate General of Foreign Trade(DGFT)

11.2 Export Policy

At present, export of edible oils is prohibition*. The following exemptions are permitted from the

prohibition on export of edible oils:

a) Castor oil

b) Coconut oil from all EDI Ports and through all Land Custom Stations (LCS) on Indo-Nepal, Indo-

Bangladesh, Indo-Bhutan and Indo-Pakistan borders.

c) Deemed export of edible oils(as input raw material) from DTA to 100% EOUs for production of

non-edible goods to be exported

d) Edible oils from Domestic Tariff Area (DTA) to Special Economic Zones (SEZs) to be consumed by

SEZ units for manufacture of processed food products, subject to applicable value addition norms

e) Edible oils produced out of minor forest produce, ITC (HS) Code 15159010, 15159020, 15159030,

15159040, 15179010 and 15219020.

f) 10,000 MTs of Organic edible oils per annum. The conditions notified in Notification No. 50 dated

03.06.2011 for export of organic edible oils will continue to apply.

g) Rice Bran oil in bulk.**

*i) DGFT’s Notification No 22 (RE – 2013)/2009-2014 dated 18 June, 2013)

ii) Export of edible oils in branded consumer packs of upto 5 Kgs is permitted with a Minimum Export Price

of USD 900 per MT(vide DGFT’s Notification No. 108 (RE–2013)/2009-14dated6th Feb, 2015)

iii) The prohibition will not apply to export of Peanut Butter, ITC (HS) Code 15179020.

(Source: DGFT)

** iv) Bulk export of rice bran oil is allowed vide DGFT’s notification no. 17/2015-20 dt 6th Aug 2015.

18 | C o m m o d i t y P r o f i l e o f E d i b l e O i l f o r M a y - 2 0 1 6

11.3 Bound Duty, Standard Duty and Current Applied Duty

Table 9: Bound Duty, Standard Duty and Current Applied Duty

HS Code Description Bound Duty Standard Duty Current Applied Duty#

15071000 Soya- bean Crude Oil 45 45 12.5

15079010 Soya- bean Edible grade 45 45 20

15081000 Groundnut oil crude 300 100 12.5

15089091 Groundnut edible Grade 300 100 20

15091000 Olive oil virgin 45 45 12.5

15099010 Olive Edible grade 40 40 20

15111000 Palm Crude Oil 300 100 12.5

151190 Other refined palm oil 300 100 20

151211 Crude sunflower-seed or

safflower oil

300 100 12.5

15121910 Sunflower oil edible

Grade

300 100 20

15131100 Crude coconut oil 300 100 12.5

15131900 Other coconut oil 300 100 20

15141120 Low erucic rape oil 75 75 12.5

15141910 Refined colza oil of edible

grade

75 75 20

15149120 Crude mustard oil 75 75 12.5

15149920 Refined mustard oil 75 75 20

15149920 Refined rapeseed oil of

edible grade

75 75 20

Source: DGFT, Department of Revenue, Government of India and World Trade Organisation (WTO)

# applied duty on crude edible oil has been increased from 7.5% to 12.5% and on refined edible oil from 15% to 20%

by Department of Revenue vide Notification No. 46/2014-Customs dated 17.09.2015.