Edible Oil Imports Rise Despite Record Oilseed Output

25-Nov-2025 04:15 PM

Mumbai. Official data shows that during the 2024-25 marketing season, gross domestic production of oilseed crops increased by 3.22 million tons compared to the 2023-24 season, reaching an all-time high of 42.989 million tons.

However, this did not reduce dependence on imports of foreign edible oils, nor did it reduce the amount spent on exports. Production of 15.268 million tons of soybean and 11.942 million tons of groundnut was estimated for the 2024-25 season, and both pulses recorded increases of more than 10 percent each, while mustard production declined slightly.

Increased domestic oilseed production should have reduced edible oil imports, but instead, imports increased slightly. Although palm oil imports declined during the 2024-25 season compared to the 2023-24 season, record soybean oil imports offset this. The reduction in import duty on edible oils also had an impact.

The Solvent Extractors' Association of India (SEA) states that the government should seek industry input when estimating oilseed crop production, as government production estimates are often much higher than industry estimates, making them difficult to trust and impacting market sentiment.

During the current Rabi season, the total area under oilseed crops increased to 7.664 million hectares as of November 21, an increase of 300,000 hectares compared to last year. The five-year average area under oilseeds is estimated at 8.678 million hectares, with the actual area falling just 1 million hectares short.

The oilseed sowing campaign is ongoing. The area under mustard, the most important oilseed, has already increased by 4.22 lakh hectares. Its future production is projected to increase by 8-10 lakh tonnes by 2024-25.