Oil Meal Export Performance Likely to Remain Subdued

21-Apr-2026 05:55 PM

Mumbai: Due to certain specific factors, India's oil meal export performance is likely to remain subdued during the current financial year. The plant-delivery price of soybeans has risen significantly above the Minimum Support Price (MSP), leading to increased production costs for soy oil and soy meal, and consequently driving up the export offer prices for soy de-oiled cake (DOC). The export of rapeseed meal depends largely on demand from China.

According to the Solvent Extractors' Association of India (SEA), the gross export of oil meals from India during the financial year 2024-25 (April–March) rose to nearly 4.5 million tonnes. Of this total, approximately 65 percent was exported to countries in Southeast Asia, the Far East, and South Asia, while about 20 percent was shipped to Middle Eastern nations and 15 percent to European countries.

This year, a crisis situation persists in the Middle East and West Asia, and it remains uncertain how long this situation will endure. Rising oil and gas prices have led to an increase in shipping freight rates and insurance costs, potentially making it difficult to ship oil meals to countries in West Asia.

Shipments to European nations are also expected to face difficulties. Countries in Southeast Asia may increase their imports of soy meal from nations such as Argentina, Brazil, and the United States.

The export offer price for Indian soy meal has, to some extent, become uncompetitive. However, exporting soy meal from the United States and Latin American countries to Southeast Asia could also prove to be a costly undertaking.

Indian exporters need not only to consolidate their position in existing markets but also to make serious efforts to identify and explore new, alternative markets. A delegation of Indian exporters is scheduled to visit the Far East Asian region in July 2026.