Government to impose a duty on imported edible oil
The government has decided to levy a regulatory duty on imported edible oil in order to promote local self-sufficiency and boost exports. According to Ministry of Food Security sources, sunflower and canola will be grown on 600,000 acres at the local level, and local production will be protected by increasing taxes as the price of imported edible oil falls. On imported edible oil, a regulatory duty of up to 5% will be imposed, as well as an additional import duty of 2%. A 17 percent sales tax will also be imposed.
According to ministry sources, taxes on imported edible oil would discourage imports, and the price of 40kg of edible oil would be set at Rs7,000 at the local level. More than $7 billion could be saved each year by increasing local edible oil production.
