An industry body representing the edible oil industry has urged the government to increase the import duty on Refined Palmolein Oil in the country.

The Solvent Extractors Association of India is asking the government to increase the import duty to protect the domestic industry from cheaper imports. The import duty for Refined Palmolein Oil is at 7.5 per cent against 2.5 per cent on Crude Palmolein Oil.

SEA pointed out that the difference between the import duties of RPO and CPO is 5 per cent at present instead of a difference of 10 per cent recommended by the Tariff Commission to protect the domestic refiners from cheaper imports from other countries.

"It is disappointing that instead of taking cognizance of the Industry's request of maintaining 10 per cent duty differential to protect the domestic refining industry, the Government on the contrary has actually reduced the differential duty to 5 per cent," said SEA.

The industry body is also asking the government to increase the import duty on CPO to 10 per cent and RPO to 20 per cent in the long term. It said that the move will help protecting both the oil seed farmers and the refining industries interest.