The edible oil sector has seen a lot of price movement because of delayedÂ monsoon that impacted the soybean crop in Madhya Pradesh. Cues have been coming in from international markets as well where the crude palm oil (CPO) prices have been volatile.
According to Godrej International Director Dorab Mistry,Â India has been lucky this year as it faced a very peculiar form of El Nino called Modoki El Nino. "We seemed to have pulled all the rain clouds from across Indonesia and Malaysia. So we have had too much rain while Thailand, Indonesia and Malaysia have been hit by dry weather,â he said.
The impact of higher palm oil prices would likely spill over partly to other edible oils like sunflower and soybean oil.
In India, the late monsoon would leave a lot of moisture in soil and leave reservoirs at healthy levels that irrigated mustard crop. âBy and large the scope for price rise in India is not great but internationally, and we always import inflation on commodities into India, so we will see some effect of that,â he said.