The recent hike in edible oil import duty will result in higher costs for consumers, according to Bikaji Foods International Ltd.

The government on Friday sought an explanation from edible oil firms for the rise in retail prices of cooking oils despite advising them to ensure price stability amid the availability of adequate stocks imported at lower duties.

India's edible oil consumption is set to grow at a pace of 2%-3% as cooking oils remain affordable despite an import duty hike, a leading importer told Reuters on Wednesday.

A meeting was held between the secretary Department of Food and Public Distribution and representatives of various edible oil industry bodies, wherein they disc

The government has asked edible oil processors not to hike retail prices following recent increase in import duties, as there is enough stock of cooking oils that were shipped at a lower duty. The food ministry said the stocks imported at lower duties would easily last 45-50 days,

Crucially, the hike in edible oil prices is unlikely to dent the country's consumption demand, with a Reuters report showing that India's edible oil consumption would grow at a rate of 2%-3%, helped by rising population and prosperity.

The Ministry of Food recently stated that edible oils which were imported at lower tariffs will last easily for 45 to 50 days.

The leading edible oil associations were advised to ensure that the MRP of each type of oil is maintained until stocks imported at 0% and 12.5% BCD are exhausted.

This directive follows a significant increase in BCD on various edible oils, aiming to support local agriculture and stabilize domestic markets.

India imports a large quantity of edible oils to meet domestic demand. The dependence on imports is more than 50 per cent of total requirements.