Huge Increase in Agricultural Import Costs Due to Edible Oils, Pulses, and Cotton

23-Apr-2025 03:47 PM

New Delhi. India’s agricultural import bill hit a new high of $27 billion in the financial year 2024-25, up 20% from $22.13 billion in 2023-24, according to the latest data from the Union Commerce Ministry. The sharp rise was mainly driven by higher import costs of edible oils, pulses, and cotton.

The import cost of edible oils rose 16.55%, from $14.87 billion to $17.33 billion, while the cost of pulses surged 46%, from $3.74 billion to a record $5.47 billion. In terms of volume, pulse imports jumped from 44 lakh tonnes to 67 lakh tonnes.

Similarly, due to a sharp drop in domestic cotton production, its import cost doubled from $590 million to $1.21 billion. The cost of importing fruits and vegetables also rose by 11%, reaching $3.26 billion.

Industry experts say that despite stable import quantities, especially in oils, higher global prices—notably of palm oil from Indonesia, Malaysia, and Thailand—pushed up the overall cost.

The government had allowed duty-free imports of several pulses to improve local supply, which also added to the spike.