An oil industry expert suggested that farmers should be provided better prices for their crops if the country wants to become self-sufficient in edible oils.

NEW DELHI: After onion and garlic, prices of edible oil have registered a sharp rise due to costlier imports.

Consumers will have to dig deeper into their pockets as the cooking oil prices may rise further, say oil industry experts.

Palm oil prices have shot up by Rs 20 a litre (more than 35 per cent) in the last two months. Palm oil’s meteoric rally has led to a sharp rise in the prices of other edible oils.

“The prices of all edible oils have increased following the rise in palm oil over the last two months. Due to costlier imports from Malaysia and Indonesia, edible oil prices are likely to see a further increase,” Oil-oilseed market expert Salil Jain said.

Another oil industry expert suggested that farmers should be provided better prices for their crops if the country wants to become self-sufficient in edible oils.

“The prices of edible oils are increasing in India due to expensive imports from the international market. However, farmers are now getting a higher price of oilseeds, which will encourage them to cultivate oilseeds,” said B.V. Mehta, Executive Director of Solvent Extractors Association of India.

India is the world’s largest edible oil importer, meeting most of its edible oil needs through imports.

It is expected that the country’s dependence on edible oil imports will increase further as heavy rains damaged soybean crops and a lower than expected Rabi oilseed cultivation this year.

Moreover, an increase in export duty on soy oil from Argentina will increase the cost of soy oil imports in India, which may lead to a further rise in prices of cooking oil.

Argentina has increased the export duty on soy oil from 25 per cent to 30 per cent. On the other hand, domestic consumption of palm oil will increase in both countries after the introduction of B-20 bio-diesel programme in Malaysia next year and B-30 bio-diesel programme in Indonesia.

CPO’s December contract on Multi Commodity Exchange (MCX) fell by Rs 543.2 per 10 kg on September 24, while on Friday the CPO price jumped by Rs 744 per 10 grams. The CPO price rose by 37 per cent in about two months.

According to Solvent Extractors data, the import of vegetable oil (edible and non-edible) oils into the country was 11,27,220 tonne in November this year as compared to 11,33,893 tonne in the same month a year ago.

The CPO (crude palm oil) price at Kandla Port was $757 per tonne (CIF) on Friday, while RBD Palmolein imported from Malaysia was priced at $782 per tonne, soy price at $878 per tonne and sunflower crude at $847 per tonne.

According to the sowing data released by the Union Ministry of Agriculture and Farmers Welfare last week, the area under oilseeds crops has been 68.24 lakh hectares this year, which is 2.47 lakh hectares less than last year.

The production of soybean, the major oilseed crop in the last Kharif season, is estimated to be down by about 18 per cent in the country as compared to last year.

According to the Soybean Processors Association of India (SOPA) estimates, soybean production in the country this year is 89.94 lakh tonnes, which is 71.73 per cent less than the previous year’s production of 109.33 lakh tonnes.

The estimates of damages comes after violent protests erupted in different parts of the country over the contentious Citizenship (Amendment) Act.
 

NEW DELHI: Amid uproar over Citizenship Amendment Act, railway property worth and estimated Rs 88 crore has been destroyed in the various zone across the Indian Railway network.

“Property worth Rs 72 crores have been damaged in Eastern zone, 13 crores in the South Eastern zone, three crores worth was damaged in North East Frontier zone,” informed Indian Railways.

The estimates of damages comes after violent protests erupted in different parts of the country over the contentious Citizenship (Amendment) Act.

Earlier reacting strongly to reports of damages being caused to railway property during protests, Union Minister of State (MoS) Railways, Suresh Angadi on Tuesday had warned that the concerned district administration and railway authorities to ‘shoot’ at sight if anybody destroys the public property.

“I strictly warn concerned district administration and railway authorities, if anybody destroys public property, including railway, I direct as a Minister, shoot them at sight”, Angadi said while replying to a question regarding the railway facing losses in West Bengal and other states due to the ongoing protests in the region.

The minister had further asserted that it is taxpayers’ money and to develop one train it takes years together.

The Citizenship Amendment Act seeks to grant Indian citizenship to refugees from Hindu, Christian, Sikh, Buddhist and Parsi communities fleeing religious persecution from Pakistan, Afghanistan, and Bangladesh, and who entered India on or before December 31, 2014. 

Pakistan has been violating ceasefire in the Tangdhar and the Kanzalwan sectors along the Line of Control in Jammu and Kashmir sector.

SRINAGAR: Pakistan on Saturday resorted to unprovoked ceasefire violation from its positions in the Neelum Valley in Pakistan occupied Kashmir (PoK).

In response to the provocative actions by Pakistan Army, the Indian Army retaliated strongly around midnight on Friday.

Pakistan has been violating ceasefire in the Tangdhar and the Kanzalwan sectors along the Line of Control in Jammu and Kashmir sector.

The Pakistanis had tried to do a BAT action a few days back in the Sunderbani sector in which one Indian soldier had lost life while two Pakistani elite Special Services Group commandos were killed in Indian Army retaliatory action.

“They have been captured in video and CCTV footage. We will take ”badla” (revenge) on them,” Yogi Adityanath said

Lucknow: 

“There is no place for violence in a democracy,” Yogi Adityanath said.

Uttar Pradesh Chief Minister Yogi Adityanath said on Thursday his government will take “revenge” on those involved in the violence over the amended Citizenship Act by auctioning their property to compensate for the losses.

“There is no place for violence in a democracy. In the name of opposing the CAA, the Congress, SP and Left parties have pushed the entire country to fire,” he said.

“There was violence in Lucknow and Sambhal and we will deal with it strictly. All properties of those involved in damaging public assets will be seized and auctioned to compensate for the losses,” he said.

“They have been captured in video and CCTV footage. We will take ”badla” (revenge) on them,” Mr Adityanath said.

He added that prohibitory orders under section 144 of the CrPC has been in force in the state since November 8 and no demonstration can take place without permission.

“Violence in the name of demonstration is not acceptable. I have talked to the officers and will ensure that the common man does not have any problem. We will strictly deal with those involved in violence,” the chief minister said.

He alleged that opposition is creating confusion on CAA as it was sidelined and ignored by the people.

“The CAA its is not against any religion or section of society. It will ensure safety and help refugees from the other countries,” Mr Adityanath contended.

Any slippage could see India’s overall public finances come under pressure and raise the risk of a downgrade by rating companies.

The growth slowdown means weaker revenue for states, especially collections from GST

India’s sharp slowdown is endangering the fiscal deficit targets of its states, threatening to unravel progress made over the past few years and driving borrowing costs higher for some of them.

The states have budgeted a consolidated fiscal deficit target of 2.6 per cent of gross domestic product in the financial year ending March, a recent study by the Reserve Bank of India shows. While the deficit ratio has remained within the mandated threshold of 3 per cent of GDP in the previous two years, doubts are growing about their ability to meet the latest goal.

Any slippage could see India’s overall public finances come under pressure and raise the risk of a downgrade by rating companies. Only last month, Moody’s Investors Service cut the nation’s credit rating outlook to negative, citing a litany of problems from a worsening shadow banking crunch and a prolonged slowdown in the economy to rising public debt.

Outstanding debt of states has risen over the last five years to 25 per cent of GDP, posing medium-term challenges to its sustainability, according to the RBI study. India’s gross general government debt — including central and states’ borrowings — stood at 69 per cent of GDP, higher than China’s 55.6 per cent, according to the International Monetary Fund.

That spells bad news for states’ borrowing costs. The yield on 10-year bonds sold by West Bengal, which has one of the lowest deficit ratios among India’s 28 states, rose to 7.29 per cent in December from 7.06 per cent in July, data compiled by Bloomberg News show. That’s still lower than the 8.21 per cent at the beginning of the year, as yields tracked the RBI’s aggressive interest rate cuts.

Despite attractive yields on states’ debt that carry an implicit sovereign guarantee, there’s little interest from global funds — which have used only 2.2 per cent of the Rs 61,200-crore ($8.6 billion) investment limit available to them in such notes. Part of the reason, according to fund managers, is a lack of price differentiation between the better-run and poorer states.

West Bengal is joined by states such as Gujarat and Maharashtra that have managed to keep their fiscal deficits at less than 3 per cent of GDP. But they all pay a coupon similar to that of, or greater than some of their financially weaker peers. Take Rajasthan: the state had an average gross fiscal deficit of 5.4 per cent between financial years 2016 and 2019, but sold 10-year bonds this month at a yield of 7.18 per cent.

States haven’t had a problem attracting local investors with yields that are typically higher than those on notes issued by the central government.