Mobility paves Samsung’s silver path
The Korean giant’s early bet on mobile phones helped it hit the $10-bn mark in India, but in its 25th year it ...
India imports palm oil mainly from Indonesia and Malaysia. File Photo - Getty Images/iStockphoto
India has raised the tax on refined palm oil from Malaysia to 50 per cent from 45 per cent for six months to curb imports and boost local refining.
The world's biggest edible oil importer currently imposes a 40 per cent import tax on crude palm oil and 50 per cent on refined palm oils. But since January, shipments of refined palm oils from Malaysia have been taxed at 45 per cent, under an agreement with Malaysia.
This reduced the effective difference in duty between crude palm oil and refined palm oil from Malaysia for Indian refiners to 5.5 per cent from 11 per cent, making overseas buying of refined palm more lucrative.
Read more: 5% duty mooted on Malaysian palm oil imports
That led to a 727 per cent surge in Malaysia's refined palm exports to India in the first half of 2019 to 1.57 million tonnes compared with the same period a year before, according to data compiled by the Malaysian Palm Oil Board.
Mumbai-based trade body the Solvent Extractors' Association of India said rising shipments of refined palm oil hit local refiners and filed an application with the Directorate General of Trade Remedies for an investigation. The watchdog last week recommended raising the import tax on refined products.
Related news: Solvent Extractors Association asks to hike import duty on Malaysian refined palm oil
India said the 50 per cent duty on refined products would be applicable until March 2, 2020. The hike in duty on refined palm oil will prompt Indian buyers to switch to crude palm oil, said Sandeep Bajoria, chief executive of the Sunvin Group, a Mumbai-based vegetable oil importer. “Importing refined palm oil is no longer attractive. From October imports of CPO could rise and refined palm will go down,” he said.
India imports palm oil mainly from Indonesia and Malaysia. Indonesia traditionally claimed two-thirds of India’s palm oil imports, but in the first half of 2019 Malaysia surpassed Indonesia as biggest supplier to India due to the duty advantage.“Indonesia is likely to regain market share again in coming months. It provides crude palm oil more competitively than Malaysia,” said a Mumbai-based dealer with a global trading firm.
Also read: Malaysian palm oil output likely to be higher in 2019
Palm oil accounts for two-thirds of India's vegetable oil imports. New Delhi also imports soyoil from Argentina and Brazil and sunflower oil from Ukraine and Russia.
The Korean giant’s early bet on mobile phones helped it hit the $10-bn mark in India, but in its 25th year it ...
Antrix should adopt a different tactic than merely fighting over jurisdiction: Experts
Invest in relationships, enterprise, behaviour, effort and learning
From different types of osmoses to new membranes, researchers have come up with ways of drawing water
High valuation and stiff competition from larger players are a dampener
₹1503 • HDFC Bank S1S2R1R2COMMENT 1500148015101525 As the stock has broken out of resistance at ₹1,500, ...
The stock of Kajaria Ceramics Limited, after witnessing a fresh breakout, on Tuesday hit a fresh 52-week high ...
Will a stock continue its current trend or will it reverse? We tell you how you can read chart patterns to ...
In these isolated times when people yearn for a slice of the familiar, amateur and professional chefs are ...
Writer Narendra’s latest book, rich with vignettes from Bastar and his native village in Uttar Pradesh, ...
On the eve of his 86th birthday, a peek into an interview-based book that reveals the actor’s many moods, ...
Forget the tuna. The island nation will keep you full and happy with coconut, koftas and jasmine
Digital is becoming dominant media, but are companies and their ad agencies transforming fast enough to make a ...
Slow Network, promoted by journalist-lyricist Neelesh Misra, pushes rural products and experiences
How marketers can use the traditional exchange of festive wishes meaningfully
For Fortune, a brand celebrating its 20th anniversary, it was a rude shock to become the butt of social media ...
Three years after its inception, compliance with GST procedures remains a headache for exporters, job workers ...
Corporate social responsibility (CSR) initiatives of companies are altering the prospects for wooden toys of ...
Aequs Aerospace to create space for large-scale manufacture of toys at Koppal
And it has every reason to smile. Covid-19 has triggered a consumer shift towards branded products as ...
Please Email the Editor