We have to go for a large scale market intervention as the edible oil prices are likely to go up after April/ May in the country, Nafed additional managing director, Mr Kailash Jani, told FE. According to him the international prices will have its impact on the domestic prices.
Large scale use of oilseeds for production of bio-diesel in European Union nations and USA will create pressure on the prices of oil seeds world over, said Mr Jani. According to him, the EU, which is producing about 16 million tonne of mustard, is now using about 50% of it for production of bio-diesel.
India produces about 6.5 to 7 million tonne of oilseeds per annum as against its requirement of 12 million tonne. Most of the oil seeds in the country come from states like Rajasthan, Haryana, Madhya Pradesh, Gujarat, Uttar Pradesh and Punjab. The country is currently importing about 5 million tonne of oilseed like palm and soya from Indonesia, Malaysia, Brazil and Argentina.
Now Nafed mustard oil in the retail market
The National Agricultural Cooperative Marketing Federation of India (Nafed) will soon enter the retail consumer market with packaged mustard oil.