Why edible oil prices are increasing in India?
In the last year, Indian people have seen a surge in edible oil prices.
Price rise in last one year
Mustard oil 40%, Sunflower oil 52%, Refined soyabean oil 34%, and Refined rice bran oil 33%.
So this is the situation now, but what exactly the reason is behind this spike?
Reasons for a price hike:
•As you know, Chinese Economic conditions are improving and with this recovery, China is buying a lot of soybean seeds, palms, and sunflower.
•Production of Palm oils is down in Malaysia and Indonesia due to labor shortage.
Note: Both countries supply to India.
•Argentina faced a drought-like situation and they supply soya bean oil.
•Russia and Ukraine have had low sunflower crops around 2-3 million tonnes loss.
So this why you can see a price hike of edible oil in India.
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