|
|
|
You can get e-magazine links on WhatsApp. Click here
|
|
|
|
|
|
Importers cancel deals worth 65,000 metric ton of crude palm oil
|
|
Monday, 30 June, 2025, 08 : 00 AM [IST]
|
|
Ashwani Maindola, New Delhi
|
Importers of edible oil have reportedly cancelled deals of over 65,000 metric tonne of crude palm oil scheduled for July to September quarter.
Shankar Thakkar, president, All India Edible Oil Traders Federation, informed that due to the war between Israel and Iran, the price of petroleum crude oil has increased and subsequently the price of edible oil, which is also used as biodiesel in many countries has also increased, and consequently the Indian importers have cancelled deals of 65,000 metric tonne of crude palm oil.
“Prices of palm oil have increased by 8% in a week. A month ago, the price of palm oil was at its lowest level in 8 months. This sudden big jump has led to the cancellation of orders,” said Thakkar.
On the other hand, the long queue of ships and delay in berthing at Kandla (Deendayal) port is causing concern in the industry.
Experts have warned that if the jam at the port continues, the supply of edible oil to the major consumption areas of the country may be disrupted.
As per reports, at present, two ships (about 45,000 tonne) are being discharged at the port, while eight ships (1.57 lakh tonne) are standing at anchor and five more ships (1.59 lakh tonne) are preparing to arrive soon.
Meanwhile, experts say that after the reduction in import duty in May, there has been a sudden surge in the arrival of edible oils, which has increased the pressure on the port. On an average, there is a wait of 8–10 days for berthing, which may increase to 15–20 days.
Traders say that many ships are being removed from the port after partial discharge to make way for new ships, which is not only delaying operations but also increasing demurrage and storage costs.
India imports about 7.5 lakh tonne of palm oil every month, of which 25–30% is imported through Kandla port. In such a situation, if this jam continues for a long time, then the supply in West and North India may be affected and price fluctuations may increase.
Thakkar said that at present, the market's eyes are on the situation of Kandla port. If the jam continues like this in the future, then in the coming days, there can be a direct impact on market prices due to supply disruption.
|
|
|
|
|
|
|
|
|
|