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Govt Tightens Oversight Of Edible Oil Sector Under VOPPA Order 2025

India has tightened oversight of the edible oil sector under the VOPPA Order 2025, mandating registration, monthly reporting, inspections and compliance action. The move aims to boost transparency, curb malpractices and strengthen food security through real-time monitoring of production, stocks and supply chains.

The Government of India has stepped up regulatory oversight of the edible oil value chain with the implementation of the Vegetable Oil Products, Production and Availability (Regulation) Amendment Order, 2025 (VOPPA Order, 2025), introducing compulsory registration and stricter reporting norms across the sector.

Under the amended Order, all manufacturers, processors, blenders and re-packers of edible oils are required to mandatorily register on the National Single Window System (NSWS) and the dedicated VOPPA portal (www.edibleoilindia.in). In addition, registered entities must submit detailed monthly returns on production, stocks and availability, significantly enhancing the government’s ability to monitor the sector in real time.

The scope of mandatory reporting covers a wide range of products, including crude and refined vegetable oils, solvent-extracted oils, blended oils, vanaspati, margarine and other notified edible oil products. The monthly disclosures must include data on production, stocks, imports, dispatches, sales and consumption, creating a comprehensive database to support data-driven policymaking and strengthen national food security.

Inspections and compliance drive
As part of a nationwide compliance initiative, the Department of Food and Public Distribution (DFPD) has carried out inspection drives at key edible oil processing hubs, including Karnal in Haryana and Jaipur in Rajasthan. These inspections are aimed at verifying NSWS and VOPPA registrations, assessing the accuracy and timeliness of monthly returns, and engaging with industry stakeholders to encourage adherence to the new regulatory framework.

The Department has indicated that such inspections will continue on a need basis across the country to ensure effective monitoring of the edible oil ecosystem.

Capacity building alongside enforcement
Alongside enforcement measures, the government is also focusing on capacity building to facilitate smooth compliance. A workshop was organised on 30 January 2026 at RIC, Jaipur, to guide industry participants on NSWS registration, use of the VOPPA portal, accurate data reporting and timely submission of returns. Similar workshops are planned in other major States.

Continuing this outreach, the third awareness workshop is proposed for 16 February 2026 in Rajkot, Gujarat, a region with a significant concentration of edible oil processing units.

Show cause notices issued
Based on inspection findings and subsequent reviews, the Department has issued Show Cause Notices to a few large edible oil companies for failing to submit mandatory monthly production returns despite repeated reminders through emails and telephonic communications. Such non-compliance constitutes a violation of the VOPPA Order, 2025, issued under Section 3 of the Essential Commodities Act, 1955.

The concerned entities have been informed that, under Section 6A of the Act, action including inspection and confiscation may be initiated in cases of contravention. In line with Section 6B, which mandates a reasonable opportunity to be heard, the companies have been given seven days to submit written explanations on why action should not be taken against them.

The Department has also clarified that similar notices will be issued to all units that are either unregistered under the VOPPA framework or have failed to file mandatory returns, underscoring the government’s intent to ensure uniform compliance across the sector.

Focus on transparency and food security
Reaffirming its stance, the government said the strengthened regulatory framework reflects its commitment to transparency, accountability and strict compliance in the edible oil sector. By improving visibility across production and supply chains, the amended VOPPA Order is expected to support effective policy formulation, curb malpractices and safeguard national food security amid volatile global commodity markets.

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Source : Business World

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