DFPD conducts nationwide inspections of edible oil refineries to ensure price reduction benefit consumers

In a coordinated move to ensure that recent reductions in import duties on edible oils directly benefit consumers, the Department of Food and Public Distribution (DFPD), Government of India, has carried out a series of extensive inspections at key edible oil refining and processing facilities across the country.

Over the past few days, officials inspected major port-based refineries and inland processing units that handle imports of Crude Palm Oil (CPO), Crude Soybean Oil, and Crude Sunflower Oil. The inspections were conducted in several major states, including Maharashtra, Andhra Pradesh, Madhya Pradesh, and Gujarat, which host a significant share of the country’s edible oil processing infrastructure.

The primary objective of these inspections was to assess the effect of the recent duty cuts on the Maximum Retail Price (MRP) and Price to Distributor (PTD) of refined edible oils such as Refined Sunflower Oil, Refined Soybean Oil, and RBD Palmolein.

Most of the units visited have already reduced both MRP and PTD in response to the decline in landed costs of imported crude oils resulting from the duty rationalization. Several processors also expressed their intention to implement further price reductions in the coming days as they continue to receive shipments of lower-cost crude oils. This initiative has contributed to price stabilization in the edible oil market, with early indications showing that the benefits are gradually being passed on to consumers through reduced retail prices.

The Department acknowledged and appreciated the cooperation of refineries and manufacturers in implementing these price cuts and aligning with the government’s goal of protecting consumer interests.

To tackle inflationary pressures in the edible oil sector, the Government of India has undertaken several policy measures in recent months, including significant reductions in import duties on various crude edible oils. These actions are part of a broader strategy to keep essential commodities affordable and ensure price stability for consumers.

The Department will continue to monitor the situation closely and carry out periodic reviews to ensure the effective transmission of duty-related cost benefits to end consumers. Any delays or discrepancies in implementing the price reductions will be addressed through appropriate regulatory measures.

Earlier, on June 11, 2025, a meeting was held under the chairmanship of the Secretary of DoFPD with leading edible oil industry associations and key stakeholders. An advisory was issued urging the industry to immediately pass on the benefits of duty reductions by adjusting both PTD and MRP. The Department also requested associations to advise their members to implement these changes promptly and submit updated brand-wise MRP data weekly. A standard format for reporting reduced MRP and PTD figures was shared with the industry.

The central government remains committed to maintaining transparency and accountability in the edible oil supply chain and will continue to safeguard consumer interests through timely policy actions and ground-level enforcement.

(Source : PIB)

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