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India issues order to scrap crude soyoil import tax
March, 25th 2009

The Indian government has issued a formal order to abolish a 20 percent import tax on crude soyoil, a senior government official said on Wednesday.

"Orders have been issued and a notification on the official website should be uploaded anytime," the official at the Central Board of Excise and Customs said, confirming a report in the Hindu Business Line newspaper.

Trade Secretary G.K. Pillai said last week the government had cut the import duty on crude soyoil to keep domestic prices stable.

Imports of crude palm oil are not taxed, while that of refined vegetable oils attract a duty of 7.5 percent.

India, the world's biggest vegetable oil importer after China, buys almost half of its about 11 million tonnes of annual domestic consumption in the form of palm oil from Malaysia and Indonesia and soyoil from Brazil and Argentina.

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