Rajkot: Groundnut oil prices have reached an all-time high of Rs 2,150 per 15 kg in Gujarat despite imposition of limit on stocking of commodity.

On April 5, the state government issued a notification imposing stock limit of 4,000 tins (15 kg each) of edible oils for the wholesalers and 300 tins for the retailers.

But the limit on stocking has not had much impact on the groundnut oil market.

"The price rise like this has never been seen in the groundnut oil," an oil-miller said, adding that shortage of groundnut might have led to the escalation of price.

Saurashtra Oil Mills Association (SOMA) President Samir Shah also attributed the price rise to shortage of "raw materials", and said that the groundnut oil was still cheaper in Gujarat, as compared to other states.

 "The production of groundnut has gone down, while the consumption of the oil has increased, and the millers are facing shortage of groundnut, that is the main reason for the price rise," Shah said.
 
Groundnut oil prices also rose in the Mumbai market on Saturday on a higher demand from stockists and exporters amidst supply constraints, by Rs 10 per 10 kg, to Rs 1,255 from Friday's closing level of Rs 1,245.

(Agencies)