Edible Oil Industry Seeks Import Subsidy, Export Sops

New Delhi, May 11 (PTI) Edible oil industry body SEA has expressed concern over trade uncertainties caused by the West Asia conflict and urged the government to subsidise freight costs for the import of edible oils and provide incentives for the export of oilmeals.

The Solvent Extractors' Association of India (SEA) has written a letter to the Union Finance Minister, Commerce Minister, Agriculture Minister and Food Minister on the impact of the West Asia conflict on the edible oil industry.

The SEA has requested that the government should come out with policy support to tide over this crisis.

In view of the challenges faced by the domestic oilseed and vegetable oil sector, the SEA has urged the Centre to "subsidise the freight cost for import of edible oil."

It has also sought "priority berthing status" to essential commodities like edible oil (crude edible oil) vessels to help maintain a smooth supply chain.


The association has demanded higher incentives for the export of agricultural produce such as oilmeals. It said that an interest subvention of 5 per cent for the export of oilmeals should be considered.

The SEA said there should be a provision of adequate and affordable working capital support to manage increased cost burdens.

SEA pointed out that the evolving geopolitical developments in West Asia are creating significant disruptions in global commodity markets, particularly impacting India's edible oil sector.

"Given the country's heavy dependence on imports, the continued uncertainty -especially around key maritime routes - has led to heightened price volatility, logistical challenges, and increased supply chain costs," it added.

In the letter, SEA has highlighted key sector-specific concerns and their potential implications for domestic availability and price stability.