Prices of edible oils such as mustard and groundnut have risen by up to 25 per cent this year due to fall in production, high global prices and rupee depreciation.
In a written reply to the Lok Sabha, the Food Minister, Mr K.V. Thomas, said edible oil prices have “increased during 2010, 2011 and current year”.
“Consumption of edible oils in the country has increased steadily whereas production of oilseeds is not increasing as compared to the demand,” the Minister said.
“According to the third advance estimates, oilseeds production may decline to 300.62 lakh tonnes in 2011-12 oil year (November-October) from 324.79 lakh tonnes in the previous year,” he said.
The average prices of edible oils such as mustard, groundnut, soybean and sunflower in January-March, went up by 25 per cent compared with their average prices in 2011.
The average price of groundnut oil during January-March, was at Rs 10,834 per quintal compared with Rs 8,693 per quintal last year.
The price of mustard oil stood at Rs 7,687 per quintal in January-March this year (Rs 6,390). The country meets about half of its edible oil needs through imports and any rise in global prices impacts domestic rates.