Mumbai: The government has extended a ban on the import of palm oils to all ports in Kerala following a drastic fall in prices of coconut oil.

Coconut oil prices have fallen over the past two years and industry officials said the ban on palm imports was needed as an expected good coconut crop in the year to June would push up supplies.

The Directorate General of Foreign Trade, under the commerce ministry, had stopped imports of palm oil through Kochi, the state's main port, in October.

A DGFT statement, dated December 24, said the ban on palm oil imports has been extended to all ports in Kerala, drawing criticism from trade body.

Kochi port handles an average 70,000 to 80,000 tonnes of palm oil imports annually.

Imports are permitted at all other Indian ports, but the ban on imports through Kochi adds to the transport cost of palm oil in Kerala.

Crude palm oil, refined, bleached and de-odorised palmolein and other grades of the commodity are not permitted for imports through the ports of Kerala, the DGFT said in the notification.

The edible oil industry, however, feels that the government should have considered other options than banning palm oil imports through Kerala ports.

India buys palmoil mainly from Malaysia and Indonesia.

In the past two to three months, packaged palmoil prices in southern India have risen tracking global markets but have also been pushed higher by the Kochi ban.

They are now ruling at about the same level as coconut oil, which is considered a premium oil used for cooking as well as toiletries.