The recent decline in edible oil prices has garnered attention, raising concerns over the sustainability of agricultural practices and farmer livelihoods. Reports indicate a notable drop in mustard oil and oilseed prices in Delhi’s market, while prices of other oils have remained relatively stable.
While soybean oil, sesame, Crude Palm Oil (CPO), palmolein, and sunflower oil have maintained steady prices, groundnut oil and oilseeds have seen no change amidst heightened buying activities.
The surge in mustard arrivals, reaching 13 lakh bags compared to 9 lakh bags previously, underscores a significant demand surge. However, this surge in demand has not translated into favorable prices for farmers, forcing them to sell their produce below the Minimum Support Price (MSP).
The plight extends beyond mustard to other crops like soybean, palm oil, and groundnut oil, all witnessing sales below MSP levels. This trend, if left unaddressed, could severely impact the cultivation of essential crops, threatening agricultural sustainability.
Currently, mustard seeds are being sold at 10-12 percent below MSP, indicative of the urgent need for government intervention. Similar trends are observed in other crops, with cottonseed stock already depleted by 75 percent, groundnut oil selling 6-7 percent below MSP, and sunflower oil experiencing a significant drop of 30-35 percent below MSP.
The repercussions of these price declines are far-reaching, with potential shortages of edible oils looming in the near future. Importantly, the high cost of palm and palmolein oil may deter imports, exacerbating the domestic shortfall.
Amidst these developments, CPO prices at ports have witnessed an increase, reflecting broader market dynamics impacting the edible oil sector.
Here’s a consolidated list of the latest prices of oil and oilseeds:
Mustard oilseeds – Rs 5,325-5,365 per quintal
Groundnut – Rs 5,975-6,250 per quintal
Groundnut oil mill delivery (Gujarat) – Rs 14,500 per quintal
Groundnut refined oil Rs 2,180-2,455 per tin
Mustard oil Dadri – Rs 10,200 per quintal
Mustard Pakki Ghani – Rs 1,725-1,825 per tin
Mustard Kacchi Ghani – Rs 1,725 -1,830 per tin
Sesame Oil Mill Delivery – Rs 18,900-21,000 per quintal
Soybean Oil Mill Delivery Delhi – Rs 10,800 per quintal
Soybean Mill Delivery Indore – Rs 10,500 per quintal
Soybean oil Degum, Kandla – Rs 9,200 per quintal
CPO, Kandla – Rs 9,100 per quintal
Cottonseed Mill Delivery (Haryana) – Rs 9,450 per quintal
Palmolein RBD, Delhi – Rs 10,200 per quintal
Palmolein Kandla – Rs 9,300 Rs (without GST) per quintal
Soybean grain – Rs 4,635-4,655 per quintal
Soybean loose – Rs 4,435-4,475 per quintal
Maize cake (Sariska) – Rs 4,075 per quintal
As stakeholders grapple with these challenges, there is an urgent need for policy measures to ensure fair prices for farmers and address looming shortages in the edible oil market.
