Palm oil imports remain below normal average despite a slight rise in May

15-Jun-2026 11:05 AM

Mumbai: Palm oil imports had dropped to a four-month low in April but recovered by 7 percent in May to reach 549,356 tonnes. Despite this, imports remain below normal average levels. In fact, with palm oil becoming costlier in major exporting countries, Indian refiners are showing greater interest in importing soy oil. The price gap between soybean oil and palm oil has narrowed significantly. Sunflower oil imports also saw a substantial increase in May.

Data from a leading industry body, the Solvent Extractors' Association of India (SEA), indicates that while the average monthly import of palm oil was around 6.32 lakh tonnes during the 2024-25 marketing season (November-October), import levels are lower in the current 2025-26 marketing season.

Industry analysts observe that the hotel, restaurant, and commercial sectors are not purchasing palm oil in large quantities; a shortage of cooling gas has forced them to reduce their palm oil requirements.

According to the association, soybean oil imports surged by 37 percent to 493,854 tonnes and sunflower oil imports rose by 32 percent to 295,726 tonnes in May 2026 compared to April.

Consequently, total edible oil imports increased in May. Gross imports of vegetable oils rose by 4.2 percent to reach 13.70 lakh tonnes.

According to SEA data, total vegetable oil imports into India rose by 12 percent to exceed 92 lakh tonnes during the first seven months of the current marketing season—from November 1, 2025, to May 31, 2026.

According to a leading industry analyst, palm oil imports are expected to rise above 6 lakh tonnes in June 2026, while soybean oil imports could decline to around 3.50 lakh tonnes.