Import of edible oils expected to increase in May as expected

05-Jun-2025 05:43 PM

Mumbai. The import of edible oils, particularly palm oil, had declined in India over the five-month period from December 2024 to April 2025. During this time, monthly imports of palm oil saw a significant drop, primarily because its global market price was higher than that of soybean oil and sunflower oil.

According to data from the Solvent Extractors Association of India (SEA), the average monthly import of palm oil during the 2023–24 marketing season (November–October) was 7.50 lakh tonnes.

However, in the first half of the current marketing season (November 2024 to April 2025), palm oil imports failed to cross 5 lakh tonnes in any month, and in three of those months, imports were even below 4 lakh tonnes.

Eventually, exporting countries adjusted their pricing, and the export offer price of palm oil started to decline. This led to renewed interest among Indian importers.

Industry analysts believe that palm oil imports increased to around 6 lakh tonnes in May, and the trend may continue with even higher imports in June and July.

India needed to boost palm oil imports as its reduced intake over the past five months had caused stocks at ports and in the supply pipeline to shrink significantly, raising concerns over availability.

With improved import levels in May, the supply situation is expected to stabilise. Meanwhile, the import of soybean oil and sunflower oil continues at normal levels.