Pune: As the festive season approaches, consumers are facing a significant surge in the prices of essential commodities, particularly edible oils and coconut products.
The recent imposition of higher import duties on edible oils has triggered a sharp increase in prices across the board, with the exception of groundnut oil.
Prices of edible oils, which had remained stable for weeks, have now spiked by ₹100 to ₹150 per 15 kg/liter tin, putting pressure on household budgets.
The price of 'copra' has also surged, with an increase of ₹200 per 10 kg, while coconut oil has become ₹200 more expensive for a 215 kg batch. The steady rise in the cost of coconuts has been a major concern, with prices increasing by ₹200 to ₹250 per hundred coconuts.
The decision to raise import duties was intended to support farmers by ensuring they receive fair prices for their crops. With the festive season underway, the hike in edible oil prices—up by ₹20 to ₹22 per kg—has added to the financial strain on consumers.
Market analysts have noted that while price hikes were inevitable, they should have been implemented gradually to mitigate the impact on consumers.
Typically, global prices for edible oils decline somewhat after an increase in import duties, softening the blow of higher domestic prices. However, this time, international markets have seen a different trend.
Following the hike in import duties, global soybean and palm oil prices have risen by $100 per ton, leading to further price increases in the domestic market.
In just the past week, the prices of soybean, palm, and cottonseed oils have climbed by another ₹100 to ₹150 per tin. This has also affected the price of vanaspati ghee, which has similarly risen by ₹100 to ₹150 per tin. Additionally, the shortage of copra has driven coconut oil prices higher, with a ₹200 to ₹250 increase per 15 kg.
Groundnut oil, however, has remained stable, while sunflower oil prices have not seen a significant rise due to sufficient imports.
The coconut market has been hit particularly hard by the shortage. Production centers in Kerala, Tamil Nadu, and Karnataka, which supply coconuts to the rest of the country, are facing severe supply constraints. As a result, coconut prices have been rising consistently.
The reduced availability of coconuts combined with strong demand has pushed the price of coconuts up by ₹200 to ₹300 per hundred in the last week.
Wholesale prices for even the lightest coconuts now exceed ₹2,000 per hundred, while premium-quality Madras coconuts are selling for over ₹3,500 per hundred. The overall coconut crop has been smaller this year, and existing stocks are insufficient to meet demand.
This shortage has contributed to the rising cost of whole copra, which saw an increase of ₹50 to ₹60 per 10 kg last week. Despite these fluctuations, the prices of staples like tur dal, wheat, jowar, bajra, sugar, and flour have remained stable
