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Ill-timed rains send edible oil prices soaring |
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NEW DELHI: Prices of mustard oil, which is largely used as cooking oil, has increased by almost 20% in the past two months while prices of sunflower and groundnut oil have moderated slightly.
According to the analysis of data available with price monitoring cell of consumer affairs ministry, price of mustard oil has increased by Rs 16 per litre on an average in comparison to last year. Comparison of average prices show that one litre of mustard oil cost Rs 90 in June last year and it was similar even in April this year. But this month the price has increased to Rs 116 per litre.
So far as price of groundnut oil is concerned, the average price was Rs 100 in June last year and this time it has touched Rs 115 per litre. Even the average cost of soya oil on year-on-year basis shows marginal increase from Rs 90 in June 2014 to Rs 95 during this month.
Sources said the price spike in the case of mustard oil is on account of large scale damage to the crop due to untimely and unseasonal rains. "The mustard yield and oil quantity in the oilseed also declined. As a result there has been shortage of mustard oil supply nationwide and price is rising. But in some relief to consumers prices of soya and sunflower oils, which are also used for cooking is comparatively less," a government official said.
He added that even the internal price of soya and palm oil is low and in case there is a need more can be imported to meet the shortage. Meanwhile, there are reports that the import of edible oils may rise 16.3% to 13.5 million tonnes this year, ending October, due to cheaper shipments from countries like Indonesia and lower domestic crushing.
Industry sources said that traditionally from April to July the rates of mustard oil are lower as there is new crop, but this year rates have been rising continuously. "This year the cost of premium mustard oil is Rs 110-125. Mustard oil was costing around Rs 90-100 around April this year. Last year the rates of premium mustard oil were Rs 80-95 per litre during this period," said Umesh Verma, spokesperson of P Mark Mustard Oil.
Consumption of mustard oil is growing as people are re-discovering its health benefits.
Source : timesofindia.indiatimes.com
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