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Edible oil prices reach an all-time high in Pune
After the historic increase in petroleum and diesel prices, Pune is witnessing an all-time high price of edible oils
After the historic increase in petroleum and diesel prices, Pune is witnessing an all-time high price of edible oils.
According to the edible oil traders, the prices of edible oils have increased by ₹800 to ₹1,000 per 15 kg can as compared to the prices in April 2020.
These prices have been increasing gradually throughout the year and are not predicted to come down at least for the next two months.
“I have been in the business of edible oil trading for the last 40 years. These are lifetime high rates of edible oils. ₹800 to ₹1,000 have increased per can which is 15-kilograms,” said Rajkumar Nahar, wholesale trader of edible oil and owner of MM Nahar traders located at Market Yard in Pune.
The price hike of the edible oils is attributed to the shortage of supply in the international market.
“There is a shortage of edible oil in the international market. India imports almost 70-80 per cent of edible oil of its total requirement. There is a 40-60 per cent import duty,” said Nahar.
The rate of sunflower oil is ₹2400 to ₹2500 per 15 kg. The rate of Soybean oil is ₹2000 to ₹2100, the rate of palm oil is ₹2050 to ₹2100 and the rate of groundnut oil is ₹2500 to ₹2600 per 15 kg can.
While in April 2020, the rate of sunflower oil was ₹1,500 per 15 kg, soybean oil was ₹1,300 per 15 kg, palm oil was ₹1,200 per 15 kg and groundnut oil was Rs1,700 to ₹2,000 per 15 kg.
The retail price of sunflower oil is Rs165, groundnut oil is ₹170, soybean oil is ₹140 and palm oil is ₹140.
“These are the highest prices ever and they have been increasing gradually since last March. For the last 12 months, prices have been increasing every month. In the international market, there is a scarcity of the crop. There are labour problems and hence the supply is getting impacted. Also, the fuel prices have increased,” said Kanayalal Gujrathi, trader of edible oil in Pune.
Though the price hike may have started to impact the monthly home budgets, it hasn’t yet caused the price hike in restaurants and eateries.
“Food stalls, roadside eateries need more edible oil per day as they have a huge proportion of fried items. In restaurants, 10-15 kg oil is sufficient per day. Though the prices of edible oils have increased by 25-30 per cent, we haven’t increased the rates of the dishes. Our business is already running low, and we want to maintain the existing customer,” said Ganesh Shetty, president of Pune Hoteliers Association.
On the other hand, agriculture experts think that this price hike is benefiting the local farmers as they are getting good rates for the oilseeds produce.
“I look at this issue from the farmer’s perspective. Farmers in Vidarbha and Marathwada are getting good rates for oilseeds such as soybean. I will not call this price hike in edible oils, inflation. It is an appreciation of the price, these market rates are necessary for farmers in order to get good prices for their crops,” said Deepak Chavhan, expert and analyser of the agriculture market.
