Centre cuts basic customs duty on crude edible oils
24 September 2026
The Government of India reduced the Basic Customs Duty (BCD) on major imported crude edible oils, the Ministry of Consumer Affairs, Food & Public Distribution announced on 24 September 2026. BCD on Crude Sunflower Oil was cut from 10% to Nil. BCD on Crude Soybean Oil and Crude Palm Oil was reduced from 10% to 5%. Duty on the respective refined oils was also lowered, while an import duty differential of 19.25% between crude and refined edible oils was maintained to support domestic refining. The step is meant to moderate domestic edible oil prices after a sharp rise in international prices. Industry was asked to revise the Price to Distributors (PTD) and Maximum Retail Price (MRP) so that the benefit reaches consumers.
In plain words
BCD Basic Customs Duty — The basic duty levied on goods imported into India under the Customs Tariff.
MRP Maximum Retail Price — The highest price at which a packaged product may be sold to consumers.
Landed cost — The total cost of an imported good once it reaches the country, including duties and freight.