In a move to enhance transparency and ensure real-time data availability, vegetable oil producers in India will now be required to furnish monthly information on their stock positions and sales. This directive, issued by the Ministry of Food, marks a significant shift from the previous reliance on industry associations for data, which the government felt was inadequate.

The new regulation, amending the Vegetable Oil Products, Production and Availability (VOPPA) Regulation Order of 2011, mandates that all vegetable oil producers and processors provide monthly details on various aspects of their operations. This includes the arrival of raw materials, production volumes, import and export activities, sales figures, and stock in hand. The goal is to provide the government with up-to-date information on the availability of vegetable oils, enabling more effective market monitoring and intervention when necessary.

Food Secretary Sanjeev Chopra emphasized the importance of this new framework, stating that it will allow the government to track production, pricing, and availability in real-time. This will provide critical data to industry stakeholders, improve compliance, enhance market monitoring, and ensure product integrity. Previously, the ministry relied on data from associations, leaving them "groping in the dark".

Under the amended order, any producer intending to produce, stock for sale, or offer for sale vegetable oil, vegetable oil products, or solvent extracted oil will need to apply for registration. The director of the directorate of sugar and vegetable oils, or any appointed person, is authorized to inspect premises to ensure compliance.

The Indian vegetable oil sector comprises over 15,000 oil mills and more than 250 vanaspati manufacturing units, many of which are in the small-scale sector. The new order focuses on enhanced monitoring of edible oil imports, production, stocks, and sales through digital tools.

This move comes amid concerns about edible oil inflation, which has remained high despite easing food inflation in other sectors. The government has already taken steps to reduce import duties on crude edible oils to ease consumer prices and absorb global shocks. Regular inspections are being conducted in collaboration with industry associations to ensure that the benefits of duty cuts are passed on to consumers.

The government is also focusing on boosting domestic oilseed production through strategic schemes and technology adoption. This is aimed at reducing dependence on imports and stabilizing prices in the long term.

In related news, the Central Bank of Myanmar (CBM) has been actively selling US dollars to edible oil-importing companies to stabilize the foreign exchange market and curb currency devaluation. On August 1, 2025, CBM sold over US$1.04 million to edible oil-importing companies.

Meanwhile, Malaysian palm oil futures have been trading lower due to weak rival edible oils and concerns about rising output and inventory levels. Palm oil prices are influenced by the prices of other edible oils as they compete for market share.