Vegetable oil body says collecting data from unorganised players a challenge
This story was originally published at 11:48 IST on 5 August 2025
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MUMBAI – Organised edible oil producers are well equipped to comply with the government's recently amended regulatory order, but gathering data from the highly fragmented unorganised sector remains "challenging" and "complex", the Indian Vegetable Oil Producers' Association said.
On Friday, the government revised the Vegetable Oil Products Production and Availability (Regulation) Order, 2011, to improve transparency and oversight in the sector. The amendment comes after the government flagged lack of consistent and comprehensive data, which it says hampers effective policymaking.
"The challenge lies in the highly fragmented unorganised sector, which comprises thousands of small mills and processing units, making data collection more complex," the association said. "That said, real-time, company-wise import data is already available with the government through customs systems, offering a solid foundation for further improvements," the association added.
The amended order requires monthly reports by the 15th of each month, detailing usage, production, sales, and stocks, to strengthen supply chain tracking and ensure availability of cooking oils at fair prices. It also strengthens enforcement mechanisms.
Alongside regulatory compliance, the government must adopt "calibrated and balanced adjustments" in import duties, the association said. "Sudden, steep changes--particularly beyond 10%--can disrupt markets and affect all stakeholders in the value chain," it added.
In September, the government raised import duty on crude palm oil, crude soyoil, and crude sunflower oil by 20% to encourage domestic oilseed production. On May 30, it cut the duty on crude edible oils to 10% to curb inflation and boost domestic refining activity.
"A more sustainable approach would be to define minimum support prices of oilseeds, maximum retail prices of edible oils, and duty structures aligned with global trends," the association said. End
Reported by Afra Abubacker
Edited by Nishant Maher
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