Palm oil wholesale reference price moving onwards

The wholesale reference rate of palm oil in the Yangon mar­ket continued to rise at K4,330 per viss (a viss equals 1.6 kilo­grammes) this week, according to the Supervisory Committee on edible oil import and distri­bution.


The Supervisory Commit­tee on edible oil import and distribution under the Ministry of Commerce has been closely observing the FOB prices in Malaysia and Indonesia includ­ing transportation cost, tariff and banking service, and is­suing the wholesale market reference rate for edible oil on a weekly basis.


The reference prices of palm oil in the Yangon market were set at K4,330 per viss for this week from 8 to 13 Novem­ber, and K4,225 per viss for the previous week ending 7 No­vember. The figure was up by over K150 per viss this week.


Despite the reference price, the current market price is rocketing.


If those retailers and wholesalers are found over­charging, storing inventory intentionally and attempting unscrupulous action to manip­ulate the market, they will face legal action under the Special Goods Tax Law, MoC released a statement.


The Ministry of Com­merce is striving for consum­ers not to worry over the sup­ply of edible oil. The ministry is also trying to secure edible oil sufficiency, supervise the market to offer reasonable prices to consumers and maintain price stability.


At present, mobile mar­ket trucks operated by oil importing companies, in coordination with Myanmar Edible Oil Dealers’ Associ­ation, were back to business in some townships on 17 July in order to offer palm oil at a subsidized rate.


They sell palm oil at K4,550 per viss to consumers directly. However, there are limited sources of supply al­though they directly sell palm oil at a reference rate depend­ing on the volume quota.


The domestic consump­tion of edible oil is estimat­ed at one million tonnes per year. The local cooking oil production is just about 400,000 tonnes. To meet the oil sufficiency in the domestic market, about 700,000 tonnes of cooking oil are yearly im­ported through Malaysia and Indonesia. — NN/GNLM