The Ministry of Consumer Affairs, Food & Public Distribution, on September 24, 2026, announced a reduction in the Basic Customs Duty (BCD) on major crude edible oils to moderate domestic edible oil prices and provide relief to consumers. The BCD on crude sunflower oil has been reduced from 10% to Nil, while the BCD on crude soybean oil and crude palm oil has been reduced from 10% to 5%.
The Government has also reduced the applicable BCD on the corresponding refined edible oils while maintaining a 19.25% import duty differential between crude and refined edible oils. The measure is intended to lower the landed cost of imported crude edible oils while supporting domestic refining capacity and discouraging excessive imports of refined edible oils, thereby promoting domestic value addition.
The Government has further advised edible oil associations and industry stakeholders to pass on the benefit of the duty reduction to consumers by immediately revising Price to Distributors (PTD) and Maximum Retail Price (MRP) in line with reduced landed costs. The Government will continue to monitor international edible oil prices and domestic market conditions and take further measures, where necessary, to protect consumer interests.
[Press Release ID: 2314297]
