Current Affairs

Department of Food and Public Distribution, GoI, Conducts Nationwide Inspections of Edible Oil Refineries to Ensure Price Reduction Benefit Consumers

Department of Food and Public Distribution, GoI, Conducts Nationwide Inspections of Edible Oil Refineries to Ensure Price Reduction Benefit Consumers

In a concerted effort to ensure that the benefits of recent import duty reductions on edible oils are passed on to consumers, officials from the Department of Food and Public Distribution (DoFPD), Government of India, have conducted a series of comprehensive inspection visits to key edible oil refining and processing facilities across the country.

The inspections, which were carried out over the past few days, covered major port-based edible oil refineries and inland processing plants that import Crude Palm Oil (CPO), Crude Soybean Oil, and Crude Sunflower Oil. Some of the major industries were visited, the specific States include: Maharashtra, Andhra Pradesh, Madhya Pradesh and Gujarat, where maximum edible oil Processing facilities are situated.

These inspections were aimed at reviewing the impact of recent duty reductions on the Maximum Retail Price (MRP) and the Price to Distributor (PTD) of refined edible oils such as Refined Sunflower Oil, Refined Soybean Oil, and RBD Palmolein.

A majority of the inspected units have already reduced both MRP and PTD in response to the reduction in landed cost of imported crude edible oils, made possible due to the recent rationalization of import duties. Several processing units conveyed their commitment to implement further reductions in prices in the next few days, as they continue to receive lower-cost shipments of crude oils under the revised duty structure. The initiative has helped stabilize prices in the edible oil market, and early signs suggest that the benefits are gradually reaching end consumers through lower retail prices.

The Department appreciated the proactive cooperation extended by edible oil refineries and manufacturers in implementing the price cuts and aligning with the government’s objective of protecting consumer interests.

In recent months, the Government of India has taken several policy measures to curb inflationary trends in edible oil prices. A major step included reducing the import duty on various crude edible oils to lower the overall landed cost. These steps are part of a broader strategy to maintain price stability and ensure essential commodities remain affordable for the common man.

The Department will continue to closely monitor the situation and conduct periodic reviews to ensure that the benefits of lower import duties translate effectively into lower consumer prices across the country. Any anomalies or delays in passing on the price benefits will be addressed through appropriate regulatory actions.

Earlier, a meeting with leading Edible Oil Industry Associations and industry was held under the Chairmanship of Secretary, Department of Food and Public Distribution, Government of India on 11.06.2025, and advisory was issued to them to pass on the benefits from this duty reduction on to consumers. Industry stakeholders are expected to adjust the Price to Distributors (PTD) and the Maximum Retail Price (MRP) in accordance with the lower landed costs with immediate effect. The Associations have been requested   to advise their members to implement immediate price reductions and share the updated brand-wise MRP sheets with the Department on a weekly basis. DFPD shared the format with edible oil industry for sharing the reduced MRP and PTD data.

The Central Government remains committed to maintaining transparency and fairness in the edible oil supply chain, and to safeguarding consumer interests through timely policy interventions and on-ground enforcement.