During the tension on the border between India and China, another new case has come up on the business issue. The Solvent Extractors Association of India (SEA) alleges that China is currently purchasing large quantities of castor seed (castor seed) from India. SEA says that in the last few months, it has been buying commodities to increase its reserves. Apart from this, he is also buying a lot of castor seed from India.
Traditionally China has been buying castor oil and other products from India in the past, but this time China is buying surprisingly large quantities. SEA believes that this will have a profound impact on Indian industries. The association has also written a letter to Union Commercial and Industrial Minister Piyush Goyal about this.
Potential loss to processing industry
In a letter to the Union Minister, the association has written that India supplies 85-90 per cent of the world’s requirement of castor oil and its products, and the country has a well-developed processing industry. Every year 6 thousand tons of castor oil are exported. The processing industry directly or indirectly provides employment to many people. The SEA complains that the way China is shopping at the moment, the processing industry can suffer a lot of damage.
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Urge to take necessary steps to reduce exports
BVA Mehta, executive director of SEA, says that value addition within the country should be the main focus and export of raw material (castor seed) should be discouraged. The association has urged the ministry to take necessary steps to discourage its exports, such as fixing the minimum export price (MEP) or imposing export duty on castor seed.