The prices of cooking oil and ghee have risen in Pakistan.

Essential goods have reportedly increased in price by Rs20 to Rs80 per kilogram, mostly as a result of a sharp rise in the price of palm oil on the global market.

Palm oil prices have risen by an astounding $300 in recent years, from $900 to $1,200 per ton.

Numerous worldwide market factors are responsible for this sharp increase, which forces regional producers to reevaluate their pricing policies in light of rising raw material prices.

However, in an effort to remain affordable in the face of growing costs, producers are requesting tax breaks from the present rate of Rs100 per kilogram for oil and ghee.

Sheikh Umer Rehan, the chairman of the Pakistan Vanaspati Manufacturers Association (PVMA), stated that the government levies customs duties on the import of palm oil and palm olein at an average rate of Rs9,500 per tonne.

Ghee and cooking oil have a tax incidence of Rs100 per kg/litre from the import to sale stages, of which Rs60 is general sales tax.

Manufacturers and dealers of cooking oil have asked the government to lower taxes on these goods in order to lessen the financial strain on customers as a result of the price increase.