Government of India has notified an order on 3rd February, 2022 specifying the stock limit quantities on edible oils and oilseeds up to 30th June, 2022 with a view to provide impetus to the various steps taken by the Government to cool the prices of edible oil in the country.
Stock Limit Order empowers the Union Government and all States & UTs to regulate storage and distribution of edible oils and oilseeds. This would also help the Government in checking hoarding of edible oils and oilseeds in the country. A Meeting was held by the Department of Food & Public Distribution on 08.02.2022 with all States and UTs for discussing the implementation plan of the above order dated 3rd February, 2022. During the meeting it was emphasized that States and UTs authorities may enforce Stock Limit Quantities Order without causing any disruption in the supply chain and also any undue hardship to bona fide trade.
Edible oils, the stock limit specified is 30 quintals for retailers, 500 quintals for wholesalers, 30 quintals for retail outlets of bulk consumers i.e. big chain retailers and shops and 1000 quintals for its depots. Processors of edible oils would be able to stock 90 days of their storage capacities. For edible oilseeds, the stock limit is 100 quintals for retailers, 2000 quintals for wholesalers. Processors of edible oilseeds would be able to stock 90 days production of edible oils as per daily input production capacity. Exporters and importers have been kept outside the purview of this Order with some caveats.
It was informed in the meeting that in case the stocks held by respective legal entities are higher than the prescribed limits then it has to be declared on the portal (https://evegoils.nic.in/eosp/login) of Department of Food & Public Distribution and bring it to the prescribed stock limits in this Control Order within 30 days of the issue of this notification. States and UTs have also been provided the access to this portal for monitoring the disclosed stocks by the entities. Further, the States and UTs were advised that the States may regularly monitor the stock limits through the portal.
The above measure is expected to curtail any unfair practices like hoarding, black marketing etc. in the market which may lead to any increase in the prices of edible oils. All States and UTs were also briefed about the current international price scenario and how the Indian market is affected by it.