Consider the following statements:
1. The quantity of imported edible oils is more than the domestic productio

Question

Consider the following statements:
1. The quantity of imported edible oils is more than the domestic production of edible oils in the last five years.
2. The Government does not impose any customs duty on all the imported edible oils as a special case.
Which of the statements given above is/are correct?

Accepted Answer

Statement 1 is correct: India is one of the world's largest importers of edible oils. For many years, and specifically in the last five years preceding the question's context, the quantity of imported edible oils has significantly surpassed domestic production due to a persistent demand-supply gap. India relies heavily on imports to meet its edible oil consumption needs.

Statement 2 is incorrect: The Government of India does impose customs duty on imported edible oils. The customs duty rates on various edible oils are regularly adjusted based on domestic prices, international prices, and to protect the interests of domestic oilseed farmers. It is not true that no customs duty is imposed; rather, it is a significant source of revenue and a policy tool.

Answer

1 only

Answer

2 only

Answer

Both 1 and 2

Answer

Neither 1 nor 2

Explanation

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