India’s duty hike reduces CPO competitiveness

Palm oil duty India

KUALA LUMPUR: Research firms believe that India’s import duty hike on crude palm oil (CPO) will reduce the price competitiveness of the commodity against other edible oils in the country, resulting in higher cooking oil price with higher duties.

CGS-CIMB, in a research note, said the move would be a negative development for palm oil as the revised effective import duty for CPO of 35.75% is 5.5 percentage points (ppts) higher and results in higher palm oil price for consumers in india.