Edible Oil Production and Import

Statement 1 is correct: India is heavily dependent on imported edible oils. During the 2013-2018 period, imports consistently exceeded domestic production. India imports around 70-80% of its edible oil requirements from countries like Indonesia, Malaysia, and Argentina, making it one of the world's largest importers. Statement 2 is incorrect: The Government of India does impose customs duties on imported edible oils. These duties have been levied to protect domestic oilseed farmers and promote domestic cultivation. The duty rate has varied over time depending on policy objectives, but zero duty is not a blanket policy. Some oils may have differential duties or exemptions under special trade agreements, but there is no universal zero-duty regime for all imported edible oils. > India imports 70%+ of edible oil; government does impose customs duties to protect domestic oilseed sector. Answer: (a).