Edible Oil Price: Again a bad news for common people. Increased price again effect the budget. This time, edible price oil seems to be on a higher side. The government will have to sell mustard carefully. Due to low arrivals, the prices of mustard oil and oilseeds has increased . Sources said farmers are avoiding selling groundnut at lower prices. The demand for whole peanuts in winter has also increased. The price of imported edible oils is now almost around groundnut, which used to be much higher than imported oils about four-five months ago. But despite this improvement, the spot price of groundnut is still below the MSP.
Arrivals of mustard in the market are declining
In Haryana and Punjab, farmers are selling less quantity of cotton despite getting higher prices than the MSP, which is reducing arrivals in the market. Media reports said that arrivals of mustard in the market are declining and the arrivals have come down to 1.5 lakh bags.
Why price on higher side?
It is also said that soybean oil-oilseed prices also remained firm amid assurances of government procurement at MSP of soybean. On the other hand, demand for de-oiled cakes (DOC) at the local level has also strengthened. But its spot price is still below the MSP. CPO and palmolein oil prices are also improving due to improvement in the Malaysian exchange and increased speculation.
How to deal with this situation?
According to some experts, to avoid this fluctuation of foreign countries, increasing the production of edible oil and oilseeds in the country seems to be the only way. Sources said that despite good prices from MSP, farmers in Haryana and Punjab are bringing less arrivals of cotton. Cottonseed oil prices improved due to lower arrivals.