By News Desk 
In a significant move aimed at combating rising inflation, the Central Government has announced a major reduction in import duties on crude edible oils, a decision that is expected to bring down the prices of cooking oils across the country.
As of Wednesday, the government has lowered the Basic Customs Duty (BCD) on crude sunflower oil, soybean oil, and palm oil from 20% to 10%. This adjustment widens the import duty gap on crude edible oils from 8.75% to 19.25%, making imports cheaper and more accessible.
Prices Likely to Drop by Up to 10%
The reduction in customs duty is expected to directly impact retail prices, potentially lowering the cost of cooking oils by up to 10%. In an official statement, the government emphasized that it has instructed industry stakeholders and edible oil associations to ensure that the benefit of reduced duties is passed on to consumers.
Direct Benefits to the Common Man
This policy change is designed to bring immediate relief to the general public, particularly amid the pressure of high food inflation. Since import duties are a major factor influencing cooking oil prices, reducing them helps bring down both procurement and retail costs, making edible oils more affordable for households.
Additionally, lower prices are expected to ease overall inflation, especially in food-related sectors where oil is a key component.
Boost for Domestic Refining Industry
Apart from consumer relief, the duty cut is also a strategic move to support India’s domestic refining sector. By creating a more favorable import structure for crude oils — especially palm oil — the policy aims to discourage the import of refined oils and encourage local processing, which in turn strengthens the refining ecosystem and creates jobs.
The government highlighted that this revised duty structure ensures a level playing field for domestic refiners while maintaining fair compensation for farmers involved in oilseed cultivation.
Policy Designed for Long-Term Stability
This change not only provides short-term consumer benefits but also promotes long-term stability in the edible oil market. By incentivizing domestic production and refining, the policy contributes to price stability and food security across the country.
What is Edible Oil?
Edible oils, also known as food oils, are fats extracted from plant or animal sources used in cooking — especially for frying, sautéing, and roasting. These oils are designed to withstand high cooking temperatures. Common edible oils in India include mustard oil, soybean oil, sunflower oil, and palm oil, among others.
This duty cut marks a critical policy intervention that aims to reduce the burden on Indian consumers, stabilize food prices, and strengthen domestic industry — making it a win-win move for both households and the economy.