New Delhi, June 14: Three weeks after Indonesia lifted the export ban, the import of vegetable oils during May 2022 is reported at 10,61,416 tonnes compared to 12,49,648 tonnes in May 2021, i.e., down by 15 per cent, data compiled by the Solvent Extractors' Association (SEA) of India showed on Tuesday.

The import data of vegetable oils (edible & non-edible) for the month of May 2022 showed that 10,61,416 tonnes imported consisted of 10,05,547 tonnes of edible oils and 55,869 tonnes of non-edible oils.

The overall import of vegetable oils during the first seven months of oil year 2021-22 (November 2021-May 2022) is at 77,68,990 tonnes compared to 76,77,998 tonnes during the same period of last year, i.e. up by 1 per cent. Oil Prices Advance on Low Oil Inventories Expectation.

"In Indonesia, the stock of palm oil is very high and tanks are full as a result of the various government restrictions imposed in the last two months, which has also created more confusion and uncertainty. Indonesia has finally lifted the ban on export of palm oil with certain conditions w.e.f. May 23.

Also, export tax & levy was reduced to $488 from $575 to stimulate export. This will increase exports from Indonesia, which will have a dampening effect on price in the world market," SEA Executive Director B.V. Mehta said. "This can be seen in the continuous downfall in the last few days in palm oil prices in the international market," he added.

The SEA said, the stock of edible oils as on June 1 at various ports is estimated at 4,84,000 tonnes (CPO 1,18,000 tonnes, RBD Palmolein 1,00,000 tonnes, Degummed Soybean Oil 1,66,000 tonnes and Crude Sunflower Oil 1,00,000 tonnes and pipeline stock at 17,65,000 tonnes, taking the total stock to 22,49,000 tonnes). "The total stock as on June 1 has increased by 13,000 tonnes to 22.49 lakh tonnes from 22.36 lakh tonnes as on May 1."

The import of RBD Palmolein jumped from 26,176 tonnes to 10,21,677 tonnes mainly due to high export levy on CPO ($575) and lower duty on RBD Palmolein ($408) favoured Indonesian exporters to discount RBD Palmolein to push its exports.

(The above story first appeared on LatestLY on Jun 14, 2022 11:17 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).