In India, panic buying has been sparked by a more than 20% increase in edible oil costs in less than a month, as well as phoney viral comments about shortages on social media.
Mumbai: Fearing an edible oil crisis as a result of Russia’s invasion of Ukraine, Indians are storing up on vegetable oil and petrol, while a surge in global crude oil prices may prompt New Delhi to boost fuel prices aggressively as critical state elections approach.
“I saw on WhatsApp that there could be cooking oil shortages as a result of the battle. As a result, I made a hasty purchase “Rekhana Khan, a Mumbai-based homemaker, purchased 10 litres of edible oil, more than double her regular monthly purchase of 5 litres.
In India, where more than two-thirds of its cooking oil demand is met, a 20% increase in edible oil prices in less than a month and fake viral messages about shortages on social media have sparked panic buying.
India imports more than 90% of its sunflower oil from Russia and Ukraine, despite the fact that sunflower oil only accounts for roughly 4% of all edible oil imports.
Other edible oils, such as palm, soy, rapeseed oil, and ground nut oil, are plenty, so there’s no need to panic, according to BV Mehta, executive director of the Solvent Extractors’ Association of India, based in Mumbai.
Meanwhile, state-owned oil companies, which control the domestic market, have not raised prices since November 4, despite elections in many crucial states, including Uttar Pradesh, the country’s most populous.
Consumers believe that now that the seventh and last phase of the Uttar Pradesh assembly elections has been completed, the administration would proceed to raise prices as soon as Tuesday.
Swapnil Phadtare, a Maharashtra farmer, said he was stocking up on diesel because local media reports suggested that fuel costs could rise by Rs 15-20 per litre as a result of the elections.
“Harvesting of winter-planted crops will begin soon. During this time, we’ll require a lot of diesel. I opted to buy like other farmers in my village to save money “Mr. Phadtare explained.
Oil prices soared to their highest level since 2008 on Monday, as the US and its European allies considered imposing a ban on Russian oil imports and delays in the probable return of Iranian petroleum to global markets fueled supply concerns.
