<ul><li>While other brands have tightened their purse strings for advertising in newspapers, essential brands such as <keyword id="1428870" type="PERSON" weightage="20" keywordseo="Kaleesuwari-Refinery">Kaleesuwari Refinery</keyword>, Shree Hari Industries, <keyword id="9344736" type="COMPANY" weightage="20" keywordseo="gemini-edibles-fats-india">Gemini Edibles &amp; Fats India</keyword> continue to bet their money on print. </li><li>The ad volume for <keyword id="6114763" type="UNKNOWN" weightage="20" keywordseo="edible-oil-brands">Edible oil brands</keyword> per publication in print by edible oil brands increased by 93%.</li><li>The next highest bet went on radio, which saw a hike by 3% during the lockdown period. </li></ul>Due to the nation-wide lockdown, brands started investing their marketing monnies in digital advertising. As the whole country stayed put, OHH saw a decline in advertisers and OTT saw an increase in viewership. As a result, brands started re-evaluating their media budgets and plans. However, as India gets back on its feet, edible oil brands, which come under the essential category, have started investing more on traditional mediums such as print and radio. According to TAM’s latest report, Advertising on radio by the edible oil category grew by 3% during the period of lockdown, which was from March until May ’20. While in print, they increased their advertising volume by 93% in May 2020. <div type="image" title="tam report on edible oil" msid="76813551" hostid="261"></div> Advertiser’s 100% focus from the edible oil category was on General Interest Newspapers. More than 60% of category ad volume in Print was on southern languages. Kaleesuwari Refinery, Shree Hari Industries ( Hari Oil Mills), Gemini Edibles &amp; Fats India were the top 3 oil brands to invest in print during the lockdown. On radio, N K Proteins, Mother Dairy Fruit &amp; Veg, Bevkart Industries took the lead. Gujarat had the maximum share of Edible Oil’s ad volumes i.e., 64%. South Zone, on the other hand, topped with 70% share of Edible Oil advertising in Print during Apr May ’20. The category’s advertising on TV medium dropped by 13% in March to May 2020. Digital media went further down by 15%. Most Edible Oil ads on TV were less than 20 seconders. 20-40 seconds and 45-60 seconds ads covered 27% and 1% share respectively during March - May ’20. <div type="image" title="top genre - edible oils - tam" msid="76813606" hostid="261"></div> In May’20, the overall count of Advertisers and Brands increased compared to Apr’20 across all mediums.

Edible oil brands continued advertising in print and radio while others shied away during the lockdown; Ad Volumes per publication in Print increased by 93%: TAM

<ul><li>When the government slashed import duties on palm, sunflower and soyabean oils earlier this month, it left out healthy edible oils such as olive and olive pomace oil.</li><li>These duties cuts have altered the price gap that exists between healthy and unhealthy oil options.</li><li>Healthy oil manufacturers like Modi Naturals and Marico are bearing the brunt of hefty import duties and passing it on to consumers.</li><li>Indians have already been downtrading from brands to unbranded or local items when it comes to packaged foods, now there will be a similar trend in <keyword id="57322" type="General" weightage="20" keywordseo="edible-oil" source="Orion">edible oil</keyword> too.</li></ul>Indian households have been reeling under the stress of hikes in <a href="https://www.businessinsider.in/india/news/after-fuel-government-moves-to-reduce-the-price-of-edible-oil-by-15/litre/articleshow/92793370.cms">edible </a>oil for months – a key element that determines their thalinomics. This heavily imported food product has been hit by supply chain issues, export bans and more but just as a few weeks back, they had started to <a href="https://www.businessinsider.in/india/news/after-fuel-government-moves-to-reduce-the-price-of-edible-oil-by-15/litre/articleshow/92793370.cms">cool </a>off a bit, thanks to global price <a href="https://www.businessinsider.in/india/news/after-fuel-government-moves-to-reduce-the-price-of-edible-oil-by-15/litre/articleshow/92793370.cms">drop. </a> A few companies like Adani Wilmar had reduced the sticker price too. The centre too moved to make it affordable again by <a href="https://www.livemint.com/industry/agriculture/govt-slashes-effective-import-duty-on-crude-palm-oil-to-5-5-to-cool-edible-oil-prices-11644721728342.html">slashing </a>import duties and asked the manufacturers to <a href="https://www.deccanherald.com/business/business-news/centre-asks-edible-oil-industry-to-slash-prices-1125041.html">pass it on to consumers </a>by up to ₹10-12 per litre. These duty cuts will also offset the fall in rupee value that will affect the economics of imported products. India is highly dependent on oilseeds growers outside the country as it is the world's second-largest <a href="https://economictimes.indiatimes.com/news/economy/foreign-trade/huge-edible-oil-imports-compromise-indias-interest-imperative-to-become-self-reliant/articleshow/92796952.cms?from=mdr#:~:text=India%20is%20the%20world's%20second,in%20continuous%20dependence%20on%20imports.">consumer </a>and number one <a href="https://economictimes.indiatimes.com/news/economy/foreign-trade/huge-edible-oil-imports-compromise-indias-interest-imperative-to-become-self-reliant/articleshow/92796952.cms?from=mdr#:~:text=India%20is%20the%20world's%20second,in%20continuous%20dependence%20on%20imports.">importer </a>of vegetable oil. It meets 55-60% of its needs through imports. “Since the global edible oil prices have reduced by 25-30% and the Indian government has also reduced the import duty on edible oils, the rupee depreciation against dollar and its impact on local prices will be offset by that. Hence, we don't see the price hike in edible oils in India due to rising dollar against rupee,” Akshay Modi, MD of Modi Naturals’ told Business Insider India. According to recently released data by the Ministry of Statistics and Programme Implementation, edible oil <a href="https://mospi.gov.in/documents/213904/416359//CPI%20Press%20Release%20June%2020221657627219122.pdf/dd978e29-3d3b-c0a8-5a4f-8d41ee23027f">prices are over 9% higher than they were </a>last year. After vegetables and spices, oils and fats have seen the biggest increase in the inflation rate during the same period. Healthy vs unhealthy While these duty cuts helped, they have also altered the price gap that exists between healthy and unhealthy oil options. Duty cuts were taken by the government for palm, sunflower and soyabean, and the centre has left out olive and olive pomace oil, both of which are imported too. These two oils are considered the healthiest of the old due to their antioxidant properties. “When it comes to other healthy edible oils like rice bran and olive pomace oils, the duties are still disproportionately high at 38.5%, leaving consumers with no healthy options to choose from. We urge the government to reduce the duty on crude oils of these sources, make it a level playing field and give consumers healthy options to choose from,” Modi told Business Insider India. Manufacturer of Oleev oil Modi Naturals’ five-liter olive pomace currently costs ₹2199. Dhara’s <keyword id="58302" type="General" weightage="20" keywordseo="sunflower-oil" source="Orion">sunflower oil</keyword>, on the other hand, costs ₹943 for 5 liters. The price of olive oil is already high and disproportionate duties might make them costlier by comparison. As trends indicate, Indians have already been downtrading from brands to unbranded or local items when it comes to packaged foods. And, it has already affected FMCG major Marico. Its healthy cooking oil brand version <a href="https://www.businessinsider.in/india/news/oats-and-honey-are-some-of-the-health-foods-that-indians-are-buying-less-of/articleshow/92697833.cms">Saffola declined in double digits </a>in the quarter ending June 2022. “Saffola Oils declined in double digits, having to contend with high in-home consumption in the base quarter and significant downtrading visible from super premium to mass segment in edible oils,” the company said in a statement to the stock exchanges. Marico has a range of healthy cooking oil options under its brands named Weight Watchers, Total Pro Heart and more. It also has cans of rice bran oil with other vegetable oils, providing a multitude of options for consumers searching for healthy options.

Cooking oils are getting cheaper but healthier options are as pricier as they were

<ul><li>Earlier this week, the government reduced the base import prices of crude palm oil and soy oil.</li><li>Following this, edible oil companies have slashed prices of <keyword id="44868" type="General" weightage="20" keywordseo="cooking-oil" source="Orion">cooking oil</keyword>.</li><li>Additionally, prices of household products like soaps, biscuits, noodles and even shampoo, lipsticks and detergents will also fall as palm oil is one basic ingredient here.</li></ul>One of India’s top FMCG companies, Adani Wilmar reduced the prices of one of the priciest of groceries in recent times – cooking oil. "We are passing on the benefit of the reduced cost to our customers. We are confident the lower prices will also boost demand," said Angshu Mallick, MD and CEO at Adani Wilmar after reducing the price of Fortune refined Sunflower oil's one-litre pack by ₹10 to ₹210. This comes after Hyderabad-based Gemini Edibles &amp; Fats and Mother Dairy both cut prices of cooking oil by ₹15 on one-litre pack – bringing relief to this household essential which has been on the receiving end of inflation for months now. This sentiment could spread across more packaged products, by more FMCG majors. “We expect consumer and retail companies to pause taking further price increases though sector valuations appear rich, with improving out‐of‐home consumption,” said a report by Centrum Broking firm. In the last few months as input costs rose, <keyword id="160413" type="General" weightage="20" keywordseo="fmcg-players" source="Orion">FMCG players</keyword> have been resorting to reducing pack sizes while increasing pack prices. A reduction in base import of crude palm oil, soy oil could be passed on to other products in which it is used like — soaps, biscuits, noodles and even shampoo, lipsticks and detergents. It would mean a sharp reduction in household grocery bills, which have only been on the rise for consumers. Normal monsoon can aid the sector to remain green Lower prices would also mean the tapering demand for packaged products would also improve. Also, there are expectations that rural demand may recover on the back of higher government spending and normal monsoon. Rural demand has been hit after consumers <a href="https://www.businessinsider.in/india/news/life-in-rural-india-hit-by-a-wilted-rabi-crop/articleshow/92333426.cms">traded down to cheaper and smaller packets </a>after inflation hit their doorsteps much harder than it did for urban consumers. If and when consumers shift to smaller pack sizes, most FMCG players tend to lose market share to local and regional players who cater more variety at those price points. However, if pack prices improve, FMCG majors’ volumes will improve – which have been losing revenue for the last eight months. Rural economy is key for FMCG players as a cool off in agricultural commodities inflation will also help reduce their own costs and improve margins. “If commodity prices witness correction from the current level, margins of consumer goods companies might witness a sequential improvement from Q3 FY2023. Commentary of most consumer goods companies suggests recovery in sales volume from Q2/Q3 of FY2023, if the inflation environment stabilizes in the coming months,” said analysts at Sharekhan. An FMCG bull run The optimism around the sector picking up soon is reflected in companies share prices as well. In a weak market sentiment, shares of FMCG players were among the biggest gainers as their fortunes will improve irrespective of worries about global interest rates and a possible recession in the US. “We are very bullish on the FMCG sector from here because we believe costs are coming down from previous highs and they are in a position to pass on incremental costs to consumers, which will help to increase these companies' margins,” said Ravi Singhal, vice chairman at GCL Securities. An FMCG bull run in a market would actually buck the trend of an overall lack of enthusiasm in stocks — proving the theory that no matter what happens, people will keep buying essentials albeit at the right price. <div type="image" title="color fmcg" height="900" width="1200" msid="92336486" hostid="261"></div> <div type="javascript" title="Custom" contenttype="Image"><cdata><![CDATA[<blockquote class="stocktwits-embedded-post" data-origin="https://stocktwits.com" data-id="467193844"> $NIFTYFMCG.NSE Sector One of the Strongest Sector out of all the Sectors Sector Currently in Consolidation , Can Give Breakout Relative Strength is improvingLooks Good above Breakout Area &mdash; (@Techno_Charts) <a href="https://stocktwits.com/Techno_Charts/message/467193844"> June 20, 2022</a></blockquote><script async src="https://stocktwits.com/min/widgets.js" charset="utf-8"></script>]]></cdata></div> SEE ALSO: <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/india/news/life-in-rural-india-hit-by-a-wilted-rabi-crop/articleshow/92333426.cms">Vanished savings, trading down to cheaper essentials – life in rural India hit by a wilted Rabi crop</a> <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/science/environment/news/india-heads-into-the-thunderstorm-zone-right-after-the-heatwave-orange-alerts-issued/articleshow/92333863.cms">India heads into the thunderstorm zone right after the heatwave, orange alerts issued</a>

Cooking oil prices drop - soaps, noodles and detergents might follow suit

<ul><li>High edible oil prices have been impacting all consumers and low-income households have been bearing the brunt of it.</li><li>A big chunk of consumer income on essential items, especially on edible oils, whose prices have increased 50-70% more than pre-COVID levels.</li><li>A <a href="https://www.localcircles.com/a/press/page/edible-oil-survey">survey </a>conducted by community social media platform LocalsCircle earlier this year found that 24% of Indian households had cut their oil consumption when it touched historic highs and 67% of consumers were paying more for it by reducing spending and savings.</li><li>There’s finally some good news for consumers as <keyword id="236770" type="General" weightage="20" keywordseo="adani-wilmar" source="Orion">Adani Wilmar</keyword>’s Fortune Oil and Raag have reduced prices of edible oil for the second time in a month.</li></ul>Your thalinomics might finally change for the better as the prices of edible oil start coming down from historic highs this month. FMCG giant Adani Wilmar, the maker of Fortune oil, has announced a reduction in its sticker price for the <a href="https://www.businessinsider.in/business/news/indias-duty-cuts-on-edible-oil-will-offset-rupee-fall-but-it-will-widen-gap-between-healthy-and-unhealthy-choices/articleshow/92947936.cms">second </a>time. After reducing its edible oil prices by ₹10 in June, Fortune Oil’s Soyabean Oil, Sunflower Oil, Mustard Oil, Rice Bran Oil will get cheaper by up to ₹5-20 per litre. This comes after the government had <a href="https://www.livemint.com/industry/agriculture/govt-slashes-effective-import-duty-on-crude-palm-oil-to-5-5-to-cool-edible-oil-prices-11644721728342.html">slashed </a>import duties by 5.5% and asked the manufacturers to pass it on to consumers. “We have passed on the benefits of global price reduction to our consumers and the stocks with new prices will reach the market soon. Our products will be available at reduced costs to our consumers. This step will certainly boost demand for the upcoming festive season,” said Angshu Mallick, MD and CEO, Adani Wilmar. India is <a href="https://www.businessinsider.in/business/news/indias-duty-cuts-on-edible-oil-will-offset-rupee-fall-but-it-will-widen-gap-between-healthy-and-unhealthy-choices/articleshow/92947936.cms">highly dependent</a> on oilseeds growers outside the country as it is the world's second-largest <a href="https://economictimes.indiatimes.com/news/economy/foreign-trade/huge-edible-oil-imports-compromise-indias-interest-imperative-to-become-self-reliant/articleshow/92796952.cms?from=mdr#:~:text=India%20is%20the%20world's%20second,in%20continuous%20dependence%20on%20imports.">consumer </a>and number one <a href="https://economictimes.indiatimes.com/news/economy/foreign-trade/huge-edible-oil-imports-compromise-indias-interest-imperative-to-become-self-reliant/articleshow/92796952.cms?from=mdr#:~:text=India%20is%20the%20world's%20second,in%20continuous%20dependence%20on%20imports.">importer </a>of vegetable oil. It meets 55-60% of its needs through imports. Import-reliant edible oil prices have been on an upward trend this year and common people have been feeling the heat of it. A reduction in import duties, therefore, will bring respite for both oil manufacturers and consumers. With the festive season around the corner, Adani Wilmar is now optimistic that price reduction will boost consumer sentiment. <table style="border-width: initial; border-style: none;" class="redcator-table-advance"><colgroup></colgroup><col /><col /><col /><tbody><tr><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">Edible Oils </td><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">Earlier Price (in ₹) </td><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">Revised MRP (in ₹) </td></tr><tr><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">Fortune Soyabean Oil </td><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">195 </td><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">165 </td></tr><tr><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">Fortune Sunflower Oil </td><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">210 </td><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">199 </td></tr><tr><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">Fortune Mustard Oil </td><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">195 </td><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">190 </td></tr><tr><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">Fortune Rice Bran Oil </td><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">225 </td><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">210 </td></tr><tr><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">Fortune Groundnut Oil </td><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">220 </td><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">210 </td></tr><tr><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">Raag Vanaspati </td><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">200 </td><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">185 </td></tr><tr><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">Raag Palmolein Oil </td><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">170 </td><td style="border-left:solid #000000 0.5pt;border-right:solid #000000 0.5pt;border-bottom:solid #000000 0.5pt;border-top:solid #000000 0.5pt;vertical-align:top;padding:0pt 5.4pt 0pt 5.4pt;overflow:hidden;overflow-wrap:break-word;">144 </td></tr></tbody><tbody></tbody><tbody></tbody><tbody></tbody></table> According to recently released data by the Ministry of Statistics and Programme Implementation, edible oil <a href="https://mospi.gov.in/documents/213904/416359//CPI%20Press%20Release%20June%2020221657627219122.pdf/dd978e29-3d3b-c0a8-5a4f-8d41ee23027f">prices are over 9% higher than they were </a>last year. After vegetables and spices, oils and fats have seen the biggest increase in the inflation rate during the same period. With two consecutive price reductions in edible oil stickers, prices in the food basket might cool down after all, even as the retail inflation remained stable in June, just as it was, the month before.

Adani Wilmar cuts Fortune oil’s price for the second time, by ₹20

<ul><li>High vegetable inflation, driven by hardening onion prices, has kept food inflation at 8.66% in February.</li><li>With low reservoir levels in many states, food inflation in FY25 is expected to be driven by monsoons, say experts.</li><li>The RBI is focused on bringing inflation below 4% and might continue the status quo for a longer time now, believe experts. </li></ul>In February, retail inflation came in on expected lines at 5.09%. However, high vegetable inflation, driven by hardening onion prices has kept food inflation up at 8.66%. Experts now believe that the <keyword id="19899810" type="General" weightage="20" keywordseo="reserve-bank-of-india" source="keywords">Reserve Bank of India</keyword> (RBI) which has been focussed on bringing inflation to 4%, will maintain the status quo in the upcoming credit policy. “We expect inflation to average 4.8% in FY25. Given that the RBI Governor has been highlighting the aim of getting inflation to 4% on a durable basis, the policy rates are likely to be kept on hold in the upcoming policy meeting, with no change in stance,” said <keyword id="20938330" type="General" weightage="20" keywordseo="rajni-sinha" source="keywords">Rajni Sinha</keyword>, chief economist, CareEdge Ratings. Regulator to continue cautious stance Despite expectations from the market, the RBI has maintained its ‘withdrawal of accommodation’ stance in the last policy meeting in February. This policy, aiming to curtail inflation further, entails a reduction of easy money supply in the system, which started during the initial COVID-19 phase. RBI governor <keyword id="19913110" type="General" weightage="20" keywordseo="shaktikanta-das" source="keywords">Shaktikanta Das</keyword> had also earlier spoken about the risk of food inflation spilling into broader inflation. “We retain our view that RBI will remain cautious on volatile food inflation trajectory and hence prefer to remain in pause mode on rates till August policy. However, with RBI already having continuously fine-tuning liquidity and easing overnight rates closer to the repo rate, we see room for a shift in stance in the June policy,” said <keyword id="20169699" type="General" weightage="20" keywordseo="upasna-bhardwaj" source="keywords">Upasna Bhardwaj</keyword>, chief economist at <keyword id="19938495" type="General" weightage="20" keywordseo="kotak-mahindra-bank" source="keywords">Kotak Mahindra Bank</keyword>. Agrees Akhil Mittal, Senior Fund Manager-Fixed Income, <keyword id="20929846" type="General" weightage="20" keywordseo="tata-asset-management" source="keywords">Tata Asset Management</keyword>, “We anticipate the regulator to maintain a cautious stance. We think RBI would rather continue with stability priority and continue maintaining the 4% inflation target as sacrosanct, and hence we do not see a premature easing from RBI.” Vegetable inflation zooms, pulses in a tough zone Vegetable inflation came in high at 30.3% in February, and experts believe that pricey onions will keep food inflation elevated. Inflation in pulses, spices and eggs also saw double-digit inflation. Edible oils and fats have brought down inflation to an extent with negative growth. The food basket has nearly 50% weightage in the consumer price inflation (CPI) data. “Inflation is purely a food inflation-driven phenomenon which will continue to pressurise inflation in the coming months. Besides, horticulture output this year is expected to be lower than last year. Cereals, eggs, sugar, spices and pulses are the other pain points here,” comments <keyword id="20102121" type="General" weightage="20" keywordseo="madan-sabnavis" source="keywords">Madan Sabnavis</keyword>, chief economist at Bank of Baroda. The outlook for food prices is also bleak with lower reservoir levels and their impact on agricultural output. “The ongoing high inflation in specific food categories, including cereals, pulses, spices, and vegetables pose a risk of potentially broadening price pressures and de-anchoring inflationary expectations. Reservoir levels, particularly in eastern and southern India, persist at lower levels. Consequently, the forthcoming monsoon in FY25 holds significant importance for the trajectory of food inflation,” said Sinha. Core inflation has however remained soft, staying below the 4% threshold for three consecutive months. Rural inflation came in higher at 5.3%, while urban inflation is at 4.8% — mostly due to higher weightage of food products in the former index. Twelve of India’s 22 states saw inflation of above 5.1%. Odisha had the highest at 7.6%, while Delhi saw the lowest at 5.3%.

RBI likely to maintain status quo after food inflation keeps Feb print high, say experts

<ul><li>Cargill is the maker of brands like <keyword id="944872" type="General" weightage="20" keywordseo="naturefresh" source="Orion">NatureFresh</keyword>, <keyword id="6358520" type="General" weightage="20" keywordseo="gemini" source="Orion">Gemini</keyword>, <keyword id="175574" type="General" weightage="20" keywordseo="sweekar" source="Orion">Sweekar</keyword> and Leonardo.</li><li>We speak to <keyword id="5222174" type="General" weightage="20" keywordseo="piyush-patnaik" source="Orion">Piyush Patnaik</keyword>, Managing Director, Cargill oil business in India about the pandemic's impact on their business and how they are working towards creating a portfolio of products that caters to the rapidly changing consumer needs.</li></ul>It was in 1987 that US-based Cargill entered India. In the last 34 years, the maker of brands like NatureFresh, Gemini, Sweekar and Leonardo is now further diversifying after listening to its consumers and working on coming up with a range of bakery products. There has also been a visible move towards healthier offerings. Even before the pandemic hit us, Cargill had started its journey of healthifying its products, which has worked in its favor in the last 1.5 years. In a recent chat with Piyush Patnaik, Managing Director, Cargill oil business in India, we tried to understand how things have been for the brand since the pandemic and the lockdown, what their outlook is for the upcoming festive season and how they are working on bringing in the next phase of growth in India. Excerpts: Q) The last 18 months have been difficult for businesses the world over. What kind of an impact did the pandemic and the ensuing lockdown have on your business? There are three parts to our business, one goes into households through traditional channels. We also have a large presence in food services, essentially for out-of-home consumption. And the third part of our business is supplying to our large B2B players. The last 18 months have been tough. However, it was a mixed bag for the overall business. For the consumer retail business, it was a tailwind but for the food service business, it was a clear and massive headwind. For the B2B segment, it was a mixed bag. The challenge was more on the operations side. However, due to the kind of portfolio we have, there was still consumption and we had less reasons to complain about than a lot of other players in the segment. Q) What do you think are a few factors that helped you sail through, relatively unscathed? As a company, we are very resilient. Our risk management processes, that have been built over 150 years, are a part of our core strength. During those difficult times, our supply chain never got disrupted. Secondly, we have clear market leadership in certain markets and it was easier to get back on track there. That helped the overall business. Thirdly, we took a few steps from our team’s side that really helped. For example, we were all operating in difficult environments, through a certain set of policies, we tried to facilitate movement of our people, additional safety measures for our teams and that helped us get back to the market faster than many of our competitors and we could get into deeper markets sooner. So it was a combination of our structural risk management practices built over years, our strong financial strength and the fact that we didn't have any break in our supply chain during this tough period. Q) What sort of a growth trajectory were you on before the pandemic hit? Are you back to pre-pandemic numbers? No, we are still not back to pre-Covid numbers but we are on a positive trajectory. We were in the typical FMCG growth bracket before Covid, and there has been a slowdown. We expect growth to kick in as we get into the festive season. Q) So you expect a good festive season this year? We definitely expect good demand in the festive season this year. We can already see green shoots of that in some markets. Also, the trade is very clearly positioning itself for higher throughput over the next four to six weeks. Q) The pandemic led to very rapid changes in consumer behavior. How did that reflect on your offerings? Did you come up with new products to cater to this changing consumer behavior? We were very lucky on that front. Over the last few years, there has been a massive conversion from loose, unpackaged products to packaged products across all categories and edible oil was ahead of the curve. Other than that, there has been a clear demand for healthier everyday food products. Covid amplified both trends across the staples category. Just around the time Covid hit, we had launched a few products like Gemini Rice Brand Oil and NatureFresh Acti Heart, which were healthier offerings. Both these products benefited from the trends. The fact that our <keyword id="12272720" type="General" weightage="20" keywordseo="naturefresh-atta" source="Orion">NatureFresh Atta</keyword> is positioned around high fiber again got traction. Since we have been talking about the importance of health in everyday life for Gemini, NatureFresh and <keyword id="12272721" type="General" weightage="20" keywordseo="leonardo-brands" source="Orion">Leonardo brands</keyword>, we could clearly see traction. Another change we witnessed was that indulgence moved home. We saw a lot of nice consumer interactions and uptake increase for heritage brands like <keyword id="6358640" type="General" weightage="20" keywordseo="rath" source="Orion">Rath</keyword> and <keyword id="1481404" type="General" weightage="20" keywordseo="sunflower-vanaspati" source="Orion">Sunflower Vanaspati</keyword>, products that are traditionally used either during festivals or for out-of-home consumption, for making sweets and Indian delicacies. And the fact that the government is slowly moving towards create awareness around trans fat reduction is also helping. We’re seeing a newfound attraction towards traditional fats which has been really helpful in the last 18 months. Q) Has this movement towards packaged products been faster in smaller cities? A lot of growth in the area is being driven by smaller cities. We are seeing faster conversion in Tier III and IV cities. Q) You have had a bakery ingredients business for a while now. Since the lockdown encouraged people to turn bakers at home, did you see any increase in demand? Our bakery goods were designed for large bakery goods customers like biscuit players. It used to be more B2B but over the last five years, we have built a nice business around NatureFresh professional portfolio of bakery ingredients which plays into the street corner artisan bakers. Today, we reach about 5,500 bakers daily. Since a lot of these shops stopped operating in the last 18-24 months, people wanted to have fresh freshly baked products at home. We had a product called <keyword id="10285577" type="General" weightage="20" keywordseo="naturefresh-professional-lite" source="Orion">NatureFresh Professional Lite</keyword>, a multi-purpose specialized pack for making cookies and cakes. We put it on e-commerce and saw a lot of traction. Wizened by that experience, we are now creating a larger basket of portfolio for the homemaker segment. The segment is witnessing phenomenal growth but it is still a very small percentage of our overall business. However, it seems like the growth is here to stay. Q) Usually a crisis leads to a cut in marketing and advertising budgets. How was it for Cargill? We are a bit of an outlier there. We have significantly expanded our communication projects, we are not looking at reduction, rather we are looking at increasing our investments, both across the Gemini and NatureFresh portfolio. As brands that are a part of people’s everyday lives, this is the time for increased conversations. We are doing multi-pronged conversations. Of course electronic media continues to stay the most relevant for larger reach, but we're amplifying it both through Digital and now through Print too. Q) How are you expanding your reach and going deeper into the country? We are expanding in two ways. We have expanded our manufacturing capacity significantly over the last 18-24 months And even during this period, we have expanded into many new towns within the geographies we operate in. Of course, we will keep expanding our product portfolio too.

Here’s how Cargill is listening to its consumers and coming up with products to best cater to evolving consumer needs

<ul><li><keyword id="6354851" type="General" weightage="20" keywordseo="Retail" source="Orion">Retail</keyword> <keyword id="22195" type="General" weightage="20" keywordseo="inflation" source="Orion">inflation</keyword> in the food basket was at 4.19% in December as against 4.67% in November. </li><li>The prices of fruits and vegetables, oils and fats, and even meat and fish fell in December 2022 as compared to the month before. </li><li>The index of industrial production (IIP) for November rose to 7.1%, as against 4% in October 2022. </li><li>We believe that the RBI will continue to increase rates in February policy by 25 bps, which can be the last hike for this cycle, says a Bank of Baroda report. </li></ul>Retail inflation declined to a one-year low of 5.72% in December 2022, mainly due to softening prices of food items, according to official data released on Thursday. The Consumer Price Index (CPI) based retail inflation was at 5.88% in November 2022. The CPI inflation in December 2022 is close to what it was in December 2021, at 5.66%. As per the data released by the <keyword id="7734679" type="General" weightage="80" keywordseo="national-statistical-office" source="Orion">National Statistical Office</keyword> (<keyword id="2501810" type="General" weightage="80" keywordseo="nso" source="Orion">NSO</keyword>), inflation in the food basket was at 4.19% in December as against 4.67% in November. After remaining above the <keyword id="6354335" type="General" weightage="80" keywordseo="reserve-bank-of-india" source="Orion">Reserve Bank of India</keyword>'s upper tolerance threshold of 6% since January 2022, retail inflation declined in November to 5.88% for the first time in FY23. The prices of fruits and vegetables, oils and fats, and even meat and fish fell in December 2022 as compared to November 2022. “There are still concerns on the non-food side as the miscellaneous category has inflation of 6.2%, clothing and footwear 9.6% and fuel at 11%. This will remain sticky as the government is not lowering excise duties on fuel, while companies are still in the process of passing on the higher input costs,” said Madan Sabnavis, chief economist at Bank of Baroda. Personal care and household goods witnessed higher input costs that have led to inflation of 8.1% and 7.4% respectively. The government also released factory output data on Thursday. The index of industrial production (IIP) for November rose to 7.1%, as against 4% in October 2022. The manufacturing segment grew at 6.1%. The consumer durable and non-durable segments both registered healthy growth rates of 5.1% and 8.9% respectively. “While the progress is overall good with the IIP growing by 5.5% for the 8-month period, it needs to be seen if this can be sustained as the festival season ends in December. Also the willingness of governments – both states and centre to keep their capex rolling would largely drive future growth in the infra sector,” Sabnavis said. ‘Arjuna's eye on inflation’ The RBI which claims to have been keeping an ‘Arjuna's eye on inflation’ has hiked key interest rates by five times since May 2022. Cumulatively, the rates rose by 2.25% across five hikes, and the repo rate now stands at 6.25%. RBI governor Shaktikanta Das has been repeating in his policy statements that the central bank is keeping an ‘Arjuna’s eye’ on inflation i.e. watching it closely. The retail inflation or Consumer Price Index (CPI) has been above its tolerance limit for three quarters straight as global supply chain issues pushed up fuel prices in addition to that of essential food items like wheat and edible oil, since the start of this financial year. “Going forward, food inflation is likely to moderate with the usual winter softening and the likelihood of a bountiful rabi harvest, but pressure points remain in the form of prices of cereals, milk and spices,” Das has said in a statement on December 7, 2022 as he announced his fifth straight interest rate hike. “We believe that the RBI will continue to increase rates in February policy by 25 bps which can be the last hike for this cycle as the numbers in the coming months would come down due to the base effect,” said Sabnavis. (With inputs from PTI) SEE ALSO <a href="https://www.businessinsider.in/finance/news/digital-inequality-debt-cost-of-living-crises-among-top-5-risks-for-india-in-2-years-wef/articleshow/96929194.cms" style="">Digital inequality, debt, cost of living crises among top 5 risks for India in 2 years: WEF</a> <a href="https://www.businessinsider.in/business/corporates/news/overall-demand-scenario-not-changed-significantly-but-europe-is-a-problem-says-tcs-ceo/articleshow/96859049.cms" style="">Overall demand scenario not changed significantly but Europe is a problem says TCS CEO</a>

Retail inflation falls to one year low of 5.72% in December

<ul><li>The <keyword id="47209" type="General" weightage="80" keywordseo="finance-ministry" source="Orion">Finance Ministry</keyword> said that CPI-based inflation recorded ‘a moderate increase’. </li><li>The inflation could be attributed to both an adverse base effect and an increase in food and fuel prices, as per the ministry. </li><li>Both these are the transient components of CPI inflation, the ministry said.</li></ul>As <keyword id="513422" type="General" weightage="20" keywordseo="RETAIL-INFLATION" source="Orion">retail inflation</keyword> rose to 7 per cent in August from 6.71 per cent in July, the Finance Ministry said late on Monday that consumer price index (CPI) based inflation "recorded a moderate increase", adding that it could be attributed to "both an adverse base effect and an increase in food and fuel prices - the transient components of CPI inflation". It added through a series of tweets that core inflation calculated by excluding the transient components of CPI like "food and beverages" and "fuel and light" was recorded at 5.9 per cent in August, and thus remained below the tolerance limit of 6 per cent set by <keyword id="30067" type="General" weightage="80" keywordseo="rbi" source="Orion">RBI</keyword> for the fourth consecutive month. "Prices of major inputs like iron ore and steel have sobered in the global markets. This coupled with the measures taken by the government to rationalise tariff structures of inputs to augment domestic supply has helped to keep cost push inflation in consumer items under control," the ministry said. Despite erratic monsoon and negative seasonality in vegetable prices, food inflation in August was still lower than the April peak of the current year. With global inflation pressures, inflationary expectations remain anchored in <keyword id="3658" type="General" weightage="50" keywordseo="india" source="Orion">India</keyword> with stable core inflation, the ministry said on an optimistic note. "IIM-Ahmedabad's One-year Ahead Business Inflation Expectations Survey in July has declined by 34 bps to 4.83 per cent from 5.17 per cent in June. Inflation expectations have fallen below 5 per cent after 17 months," it said in another tweet. "To soften the prices of edible oils and pulses, tariffs on imported items have been rationalised periodically and stock limits on edible oils have been kept, to avoid hoarding," the ministry said while listing the measures taken to curb prices of essential commodities. Inflation in "oils and fats" and"pulses and products" have moderated to 5.62 per cent and 2.52 per cent, respectively, the Finance Ministry pointed out. "The government has prohibited exports of food products like wheat flour/atta, rice, maida etc. to keep domestic supplies steady and curb rise in prices. The impact of these measures is expected to be felt more significantly in the coming weeks and months," it said. SEE ALSO : <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/science/health/news/indias-homegrown-cervical-cancer-vaccine-can-be-a-game-changer-say-doctors/articleshow/94151501.cms">India’s homegrown cervical cancer vaccine can be a game changer say doctors</a> <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/tech/mobile/news/oneplus-11-pro-spotted-with-an-alert-slider-and-a-redesigned-camera-setup/articleshow/94157444.cms">OnePlus 11 Pro spotted with an alert slider and a redesigned camera setup</a>

Retail inflation is high due to food prices and an adverse base effect says Fin Min

Repeated using and frying of edible oil leads to the formation of TPC (Total Polar Compound) which renders it unfit for human consumption. Due to reheating, the nutritional and physicochemical properties of cooking oils are affected drastically. The health hazards triggered by the use of reheated cooking oil is raising major concerns in the medical sphere. What happens when edible oil is repeatedly used and reheated many times? Oil is a major ingredient in most Indian cooking traditions. A number of studies tell us that reheating cooking oil can release harmful toxins, increase the percentage of trans- fats in it, becomes rancid, gives rise to free radicals, and gives rise to some very harmful reactions. Reheating oil can take a toll on people’s health by resulting in several harmful effects. Not overheating the oil for a lot of time, not adding salt to foods before deep-frying, and minimizing food contamination by avoiding the accumulation of food particles in the oil are all suggested as some viable measures to reduce the harmful effects that result while reheating oil. However, strictly regulating the reuse of edible oil can help save the domestic as well as restaurant customers from the ill-effects of reheated cooking oil. New legal regulations governing the use of cooking oil The government has introduced a new set of regulations governing the use of cooking oil which has set the maximum permissible limit of Total Polar Compound (TPC) in cooking oil at 25 percent. The Indian Biodiesel Association has been asked by the FSSAI (Food Safety and Standards Authority of India) to create a nationwide eco-system to collect used cooking oil to convert it into bio-diesel. With effect from July 1, 2019, all the Food Business Operators (FBOs) in the country have been asked to strictly monitor the quality of oil used for frying in order to ascertain if it meets the approved regulations. The Food Authority has now created testing protocols for testing TPC. The Triple E strategy Talking of the implementation of the cooking oil standards announced by the government, Pawan Agarwal, CEO, FSSAI, said it will require “Triple E strategy” and a coordinated effort. The three ‘E’s in the strategy stand for Education, Empowerment and Eco-system. These ideas can be expanded as educating the businesses and consumers on the health consequences of using spoiled cooking oil, and developing an eco-system to collect used cooking oil and producing bio-diesel from it. What the law wants to achieve? Cooking oil is majorly consumed by restaurants and food products manufacturers. As per the existing practice noticed among these businesses, cooking oil is not discarded in an environmentally friendly way. In many cases, the used cooking oil is bought from these businesses by smaller restaurants, street vendors and dhabas. Since the laws governing the use of edible oil has taken effect already, FSSAI has asked the State Food Safety Commissioners to provide education programs and carryout the surveillance and enforcement activities for the new set of regulations. In a typical year, Indian masses consume about 23-million tons of cooking oil. Hence there is a potential to recover about 3 million tons of edible oil for producing bio-diesel.

You Searched For "gemini edibles fats india" and got 9 results

Edible oil brands continued advertising in print and radio while others shied away during the lockdown; Ad Volumes per publication in Print increased by 93%: TAM

BI India Partner

Cooking oils are getting cheaper but healthier options are as pricier as they were

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Cooking oil prices drop - soaps, noodles and detergents might follow suit

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Adani Wilmar cuts Fortune oil’s price for the second time, by ₹20

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RBI likely to maintain status quo after food inflation keeps Feb print high, say experts

Katya Naidu

Here’s how Cargill is listening to its consumers and coming up with products to best cater to evolving consumer needs

Samarpita Banerjee

Retail inflation falls to one year low of 5.72% in December

Katya Naidu

Retail inflation is high due to food prices and an adverse base effect says Fin Min

IANS

The Use and Reuse of Cooking Oil -- Disadvantages, Regulations and all you need to know

BI India Bureau