Drop In Edible Oil Prices

Inflation is crushing people's backs as the coronavirus spreads across India. Oil prices, like those of gasoline and diesel, are steadily rising.

But do you know what else is cooking?

Some good news as well! If you are a mustard oil buyer, this news will be quite beneficial to you. The price of mustard oil has dropped dramatically.

The mustard and soybean oils were quite high just two to three months ago. They've dropped in price from 17 to 22 rupees. The reason for this is the government's decision to abolish futures trading and decrease the tax on imported edible oils to zero.

Traders predict that the price of oil will continue to fall. This will alleviate the strain on people's wallets. It's definitely always welcome news to hear of any kind of oil price decreasing for a change! If we look at oil prices over the last month, we can see that mustard oil was selling for Rs 185 per liter in October-November. It has now decreased from Rs 163 to Rs 168 per litre. Soybean oil, which was Rs 140 per litre in November, is now priced between Rs 130 and Rs 132 per litre.

According to market analysts, prices began to rise in September due to insufficient soybean production, the key Kharif crop. As a result, the price of soybean oil rose from Rs 90 per litre in September to Rs 140 per litre in January. The average household's budget had been worsening at a record-breaking rate of Rs 45 per litre in just four months, but it has already begun to improve. People have begun to save eight to ten rupees as a result of this.

Sanjay Singhania, who is the President of The Chamber Of Commerce has observed that in comparison to last year, mustard production has increased this year. Oil prices will almost certainly fall more in the coming days.

The use of edible oil in the ration also reduces mustard oil demand. One of the reasons for the price drop could be linked to that as well. In the previous month, oil prices have dropped considerably.