The demand for soymeal from India in the international market got a buoyancy
FinTech BizNews Service
Mumbai, December 26, 2023: Ajay Jhunjhunwala, President, Solvent Extractors' Association of India (SEA) SEA has updated the current situations of the Veg oil industry across the country.
Rabi Sowing Progress
Ajay Jhunjhunwala has shared the encouraging news regarding the increase in area under Rabi Oilseed crops. As on 15th December the sown area has reached 99.11 Lakh Ha, exceeding both, the five year average sown area of 84.45 Lakh Ha and also that of last year of 98.1 Lakh Ha. Rape-seed-Mustard leads the pack and covers a sowing area of 92.45 Lakh Ha. exceeding the 5-year average area of 73 Lakh Ha and also that of last year’s 90.16 Lakh Ha mainly increased in Uttar Pradesh. Though area’s under groundnut, sunflower, safflower & sesamum currently show a slight decline, with agro-climatic conditions expected to be close to normal, indicates a promising harvest of Rabi oilseed crop.
DORB Exports ban extended
The Government in its wisdom has once again extended ban on the exports of De-Oiled Rice Bran till end March 2024. This despite our fervent appeal, that not permitting its exports does not reduce the price of dairy products but the solvent extraction units loose its export market which has been developed painstakingly.
Exports of Oilmeal
Cumulative Exports of all Oilmeals during the current fiscal year till Nov.’23 has increased by around 21% over the preceding period and crossed 28 Lakh tonnes. The demand for soymeal from India in the international market got a buoyancy due to our price competitiveness and shortage of supply by Argentina. Also exports of rapeseed meal during the last F.Y. i.e. 2022-23 had set a new record at 22.96 lakh tons and the trend is continuing in the current year with exports of around 16.07 lakh tons till Nov.’23 and likely to cross last year’s record export. The exports of Castor meal on the track and has maintained a level a notch above last year’s export. Looking to the current trend even though there is a ban on export of De-Oiled Rice Bran, total exports during current Financial Year is projected over 45.0 Lakh tonnes includes Rapeseed meal 25.0 lakh tonnes and Soybean meal 15.0 lakh tonnes.
Imports of Vegetable oils
The very low duty difference of only 8.25% between crude and refined oils, imports of RBD Palmolein in November reported at 1.71 lakh tons is more than twice that of the previous month, this is to the detriment of our processing industry and of benefit to the exporting countries viz Indonesia & Malaysia. The Association has strongly recommended to the Government that import duty on refined edible oil be at least 15% higher than that on crude edible oil to enable our domestic industry to have a level playing field. This would also enable our Government to earn larger revenue as well as save foreign exchange.
FSSAI’s call for meeting
FSSAI is actively engaging with the industry to address the industry’s concerns & expectations and at the same time as always uphold the consumers’ interests. Dr. Prabodh Halde and other office bearers will represent the Association in the meeting with FSSAI scheduled on 3rd Jan.’24 and express our concern on the various issues, including regulations & compliance. I am hopeful for a viable outcome at the meeting. In case, members have specific issues, do write to the Association.
Forthcoming Event
the Association is organising the 22nd International Conference on Castor viz. Global Castor Conference – 2024 which will be held on 22nd-23rd February 2023 at Ahmedabad, Gujarat, India. Conference will have a large number of international participants buyers of castor oil & its derivatives as well as castor meal.
