Edible oil regulation: Government tightens norms; monthly reporting, factory checks made mandatory

The Centre has notified a new regulatory framework for India’s edible oil industry, aiming to increase transparency, prevent supply disruptions, and ensure fair prices for consumers. The Vegetable Oil Products, Production and Availability (VOPPA) Regulation Order, 2025, notified on August 1 by the ministry of consumer affairs, amends the existing 2011 Order under Section 3 of the Essential Commodities Act, 1955.According to the official release, all vegetable oil producers must now obtain registration certificates through the Directorate of Sugar and Vegetable Oils in New Delhi. The application must include factory location, production capacity and other operational details as listed in Schedule-I.The amended framework requires producers to file mandatory monthly reports by the 15th of each month. These reports must detail oil usage, production, sales, and stock levels. Officials said the move is aimed at ensuring better supply chain monitoring and curbing practices like hoarding or misreporting.The Order also grants greater enforcement powers to the director of the Directorate. Authorities can inspect facilities, demand records and seize stocks in case of suspected violations. Non-compliance with reporting or directives will be considered a breach under the new rules.The amendment brings in clearer definitions for terms such as “Producer,” “Vegetable Oil,” and “Director,” aligning them with the Essential Commodities Act, 1955 and the Collection of Statistics Act, 2008. Obsolete provisions such as “de-oiled meal or edible flour” have been removed. Schedule-III and Paragraph 13 of the previous Order have also been scrapped, while terms like “Clause” and “Chief Director” have been standardised.Welcoming the step, the Indian Vegetable Producers’ Association (IVPA) said the reforms address long-standing concerns over data inconsistencies that hinder policy decisions. “The organised sector is equipped to meet these data requirements, but the challenge lies in the fragmented unorganised segment, comprising thousands of small units,” IVPA noted.As per news agency PTI, the association expressed hope that improved reporting will help policymakers, consumers and producers align on common goals of affordability and availability.The 2025 VOPPA Order is part of the government’s broader efforts to stabilise edible oil supplies and bring accountability to one of the country’s most vital commodity sectors.