Government allows bulk exports of rice bran oil

The Government of India has permitted the bulk exports of rice bran oil without any limitation on pack sizes, a decision that will possibly help the rice millers and paddy growers in the country. 

"Export of rice bran oil in bulk (irrespective of any pack size) has been exempted from the prohibition on export of edible oils," the Directorate General of Foreign Trade (DGFT) said in a notification on Thursday. 

Currently, the exports of edible oils are permissible in branded packs of up to 5 kg with a minimum price of export of $900 a tonne. 

Although India imports considerable amount of edible oils, the government has allowed the bulk exports of rice bran oil in order to help the small rice millers to get better price internationally as demand of the oil is limited in the local market. 

The country’s imports of vegetable oil (including edible and non-edible oils) reached a record 14.61 million tonnes, during the oil year 2014-15 (November-October). 

During the first six months of the oil year 2015-16, the vegetable oils imports increased by 17 percent to 75.57 lakh tonnes, compared to 64.66 lakh tonnes in the same period of the previous oil year. 

Imports meet more than 50 percent of India’s cooking oil demand.

The country imports palm oil majorly from Malaysia and Indonesia and a little quantity of crude soft oils, along with soyabean oil, from Latin American countries.