For millions of Indian households, the hike in basic customs duty on crude palm oil and refined palm oil has meant paying more for essentials like cooking oil, soap and processed foods. File photo
Podcast: Why Indonesia's palm oil export ban is not likely to last long
Atul Chaturvedi, President of the Solvent Extractors Association and former CEO of Adani Wilmar, says Indonesia's export ban is a knee-jerk reaction to a domestic shortage of palm oil.
Indonesia, the world’s largest producer of palm oil, has announced a ban on its exports to contain rising edible oil prices in their domestic market. The ban, which came into effect on Thursday (April 27), will severely affect India, whose 50% of palm oil imports come from the southeast Asian nation.
Atul Chaturvedi, President of the Solvent Extractors Association and former CEO of Adani Wilmar, says Indonesia’s export ban is a knee-jerk reaction to a domestic shortage of palm oil.
Also read: Indonesian palm oil export ban begins: Here’s how it will impact India
Jakarta’s action, coupled with the decline in sunflower oil imports due to the Ukraine crisis, may impact the Indian edible oil market, but it’s likely to be short-lived. Oil exports are vital for the Indonesia economy, so the ban is likely to be revoked soon, Chaturvedi tells Vivian Fernandes in a 23-minute interview.
