Mustard oil producers urge FM to remove stock limit on oilseeds – Investing NewsEverything

New Delhi, Oct 10 (IANS) The Mustard Oil Producers Association of India (MOPA) has urged Union Finance Minister Nirmala Sitharaman to remove the stock limit on oilseeds and allow futures trading in this important commodity.

A representation in this regard was given to Sitharaman by the association on Monday, which said that farmers have toiled hard to increase the production of oilseeds following which the import of edible oil came down to 135 lakh tonnes from 150 lakh tonnes.

The MOPA pointed out that in the last four months, the prices of edible oil have fallen by 40-45 per cent and are now almost at pre-pandemic levels.

“This means that the price of soyabean seeds, which was selling at around Rs 9,500 a quintal last year, is now selling at Rs 4,500 a quintal. The situation is similar with mustard. It is currently selling at Rs 6,000 a quintal vis-a-vis Rs 8,500 a quintal last year. This is creating hardship for farmers and they are not eager for sowing of oilseeds,” the representation to the Finance Minister said.

In view of the difficulties being faced by the farmers, MOPA has urged the Finance Minister to take necessary action and prevent the oilseed growers to shift to other crops.

Moreover, it added, the stock limits imposed by the government on edible oil and oilseeds are adding to the woes of the edible oils sector. Several factories have closed down in the country, creating job losses.

The government, the MOPA in its representation said, should immediately remove the stock limit on oilseeds and permit futures trading in mustard, soyabean, soya oil and crude palm oil.

Stock limit on oil and oilseeds was imposed in February 2022 for two months, which was later extended till December 2022.

–IANS

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